8 answers
Javier
Student
Winston-Salem, North Carolina
1
Question
Asked
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What would be a suggested career path in order to work in investment banking Thanks?
Like what would be the University degree or just the main subjects someone should be related with (through courses, internships, programmes).
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8 answers
Xiaojie Johan Liu
Consultant
91
Answers
Boston, Massachusetts
Updated
Xiaojie Johan’s Answer
Hello Javier,
Try to study a combination of finance, mathematics, statistics and economics. I think any of a combination of these majors would be a great way to prepare for an IB career.
Thanks!
Best regards,
Johan
Try to study a combination of finance, mathematics, statistics and economics. I think any of a combination of these majors would be a great way to prepare for an IB career.
Thanks!
Best regards,
Johan
Thanks for the advice.
Javier
Sean McBrien
Technology
16
Answers
New York, New York
Updated
Sean’s Answer
First, let me say I'm not an investment banker, I'm a marketing and technology executive and my entire career has been on Wall Street building and managing systems that support financial institutions. With that experience, I can say that a career as an investment banker can indeed be quite rewarding, not just financially. Depending on the deals you work on, investment bankers are often at the forefront of the most impactful business activities affecting the world's major companies and macroeconomic outcomes. It is a very competitive space. That bears repeating: it is extremely competitive.
If I were starting my career over and wanted to be an investment banker, I would ensure I had very strong mathematical and analytic skills and adjust all of my course work to meet that: courses in advanced math, statistics, logic, accounting, economics, finance. But I would not discount the need to speak and write with clarity and eloquence. I would ensure I had aimed for high grades in those courses.
In preparing for college, I would research tier one business schools and assess what I needed to get a degree from one either at the undergraduate or MBA level. While there are exceptions to be sure, most of the top investment bankers in finance have gone to one of a dozen or so tier one schools around the world. Think places like Wharton, Kellogg, Sloan, INSEAD, London Business School, etc.
When thinking about a first job, my goal would be to get into an analyst or associate class at the top international banks with the best ranking in being lead or joint manager or bookrunner on deals, e.g. Goldman, JP Morgan, Morgan Stanley, Citi, Bank of America, etc. I would prepare myself by understanding that my first years in investment banking will be extremely tough and will involve long hours, a lot of brainpower, and a lot of seemingly mundane and laborious tasks like building detailed pitchbooks.
Lastly, I'd learn from the careers of others that came before me. Some bankers stay in the deal and originations space for a set number of years and don't spend their full careers in the space. Many take the incredible business learning and networks they build and turn them into second stage careers as managers of smaller institutions, starting their own businesses, or leading other financial or operational departments at their banks.
If I were starting my career over and wanted to be an investment banker, I would ensure I had very strong mathematical and analytic skills and adjust all of my course work to meet that: courses in advanced math, statistics, logic, accounting, economics, finance. But I would not discount the need to speak and write with clarity and eloquence. I would ensure I had aimed for high grades in those courses.
In preparing for college, I would research tier one business schools and assess what I needed to get a degree from one either at the undergraduate or MBA level. While there are exceptions to be sure, most of the top investment bankers in finance have gone to one of a dozen or so tier one schools around the world. Think places like Wharton, Kellogg, Sloan, INSEAD, London Business School, etc.
When thinking about a first job, my goal would be to get into an analyst or associate class at the top international banks with the best ranking in being lead or joint manager or bookrunner on deals, e.g. Goldman, JP Morgan, Morgan Stanley, Citi, Bank of America, etc. I would prepare myself by understanding that my first years in investment banking will be extremely tough and will involve long hours, a lot of brainpower, and a lot of seemingly mundane and laborious tasks like building detailed pitchbooks.
Lastly, I'd learn from the careers of others that came before me. Some bankers stay in the deal and originations space for a set number of years and don't spend their full careers in the space. Many take the incredible business learning and networks they build and turn them into second stage careers as managers of smaller institutions, starting their own businesses, or leading other financial or operational departments at their banks.
Sean thank you so much for taking the time, I really appreciate it. Wish you the best!
Javier
Paul Greenfield
Value Consulting for Tech Company
3
Answers
New York, New York
Updated
Paul’s Answer
I agree with the above answers. A degree in finance is the most applicable. In addition, networking is key. You can reach out to people on LinkedIn at the banks you're interested in or you can Google a specific company's email format, find a person at the bank on LinkedIn, and try emailing them based on the company's email format. Lastly, outside of the finance degree, you can lookup financial modeling classes online or on YouTube that will teach you how to use Excel and do the financial modeling that investment bankers use.
Gilbert Saldaña 🐠
Sales Executive
5
Answers
McAllen, Texas
Updated
Gilbert’s Answer
Obtaining a finance degree from a reputable university is essential. Concentrate diligently on maintaining high grades and seek assistance from your university's career center early on for advice and opportunities for internships.
It's important to build connections with fellow students who share similar interests at your school. Start preparing for interviews by practicing together.
It's important to build connections with fellow students who share similar interests at your school. Start preparing for interviews by practicing together.
Thank you so much!! That's really helpful, I really appreciate it.
Javier
Gabe H
Asset Management investment analyst
2
Answers
New York, New York
Updated
Gabe’s Answer
Hi Javier! There isn't necessarily one correct path - I have investment banking friends from many differ universities and majors. A degree in finance or accounting is likely preferable, as it will give you a head start on learning the technical modeling questions for investment banking interviews. However, as long as you study technical questions (there are many online/book resources for this, generally 3 statement modeling and balance sheet work) you should be fine! Just make sure you understand the recruiting timelines for internships so you don't miss the interview cycle. Otherwise, I would also recommend reaching out to alumni from your university who are in investment banking. Hopefully some of them will be happy to have a quick call and detail their journey into banking for you.
Patrick Meyer
Executive - Data Analytics and AI
725
Answers
Naperville, Illinois
Updated
Patrick’s Answer
Javier, let me assure you that embarking on a career in investment banking can be a rewarding journey if you adhere to a well-structured career plan that blends education, hands-on experience, and professional networking. Here's a roadmap to guide you on your exciting voyage into the world of investment banking:
* Although there's no specific degree mandate for investment banking, many successful professionals in the field have undergraduate degrees in finance, economics, accounting, or related disciplines. Such degrees equip you with a robust understanding of financial principles, valuation methods, and business analysis. Opt for courses or specializations in areas like corporate finance, financial modeling, investments, and capital markets to acquire specialized knowledge pertinent to investment banking.
* Internships are a key stepping stone in building your resume and acquiring practical experience in investment banking. Actively pursue internships at investment banks, boutique advisory firms, or financial services companies to familiarize yourself with deal-making processes, financial analysis, and client interactions. Summer internships during your undergraduate studies can be particularly insightful, providing a glimpse into the industry and helping you forge relationships with professionals in the field.
* Engaging in programs and competitions related to finance and investment banking can bolster your skills, expand your network, and enhance your resume. Seek opportunities to participate in finance clubs, student investment funds, case competitions, or financial modeling workshops. These experiences not only showcase your dedication and commitment to the field but also equip you with practical skills that employers highly value.
* Networking is a vital component in the competitive landscape of investment banking. Make the most of industry events, career fairs, and informational sessions to connect with professionals in the field and discover potential job opportunities. Utilize online platforms like LinkedIn to connect with alumni, professionals, and recruiters in investment banking, expressing your eagerness to learn more about the industry and potential career paths.
* While not a requirement, pursuing advanced degrees such as a Master of Business Administration (MBA) or a Master of Finance (MSF) can elevate your qualifications and career prospects in investment banking. These programs offer opportunities for deeper specialization, advanced training, and access to expansive professional networks. Some investment banks also offer summer associate programs specifically for MBA students, paving a direct entry into the industry.
* Investment banking interviews are thorough and often involve technical questions, case studies, and behavioral evaluations. Prepare for interviews by honing technical skills such as financial modeling, valuation, and market analysis. Craft concise and persuasive answers to common interview questions, and be ready to discuss your relevant experiences, skills, and career aspirations.
Javier, remember that by adhering to this suggested career path and maintaining an active, flexible, and tenacious approach, you can enhance your prospects of securing a position in investment banking. Bear in mind that the journey into investment banking can differ for each individual, and it's crucial to tailor your strategy based on your interests, strengths, and career goals. Always be on the lookout for opportunities for learning, growth, and professional development to secure your success in the dynamic and fast-paced realm of investment banking.
* Although there's no specific degree mandate for investment banking, many successful professionals in the field have undergraduate degrees in finance, economics, accounting, or related disciplines. Such degrees equip you with a robust understanding of financial principles, valuation methods, and business analysis. Opt for courses or specializations in areas like corporate finance, financial modeling, investments, and capital markets to acquire specialized knowledge pertinent to investment banking.
* Internships are a key stepping stone in building your resume and acquiring practical experience in investment banking. Actively pursue internships at investment banks, boutique advisory firms, or financial services companies to familiarize yourself with deal-making processes, financial analysis, and client interactions. Summer internships during your undergraduate studies can be particularly insightful, providing a glimpse into the industry and helping you forge relationships with professionals in the field.
* Engaging in programs and competitions related to finance and investment banking can bolster your skills, expand your network, and enhance your resume. Seek opportunities to participate in finance clubs, student investment funds, case competitions, or financial modeling workshops. These experiences not only showcase your dedication and commitment to the field but also equip you with practical skills that employers highly value.
* Networking is a vital component in the competitive landscape of investment banking. Make the most of industry events, career fairs, and informational sessions to connect with professionals in the field and discover potential job opportunities. Utilize online platforms like LinkedIn to connect with alumni, professionals, and recruiters in investment banking, expressing your eagerness to learn more about the industry and potential career paths.
* While not a requirement, pursuing advanced degrees such as a Master of Business Administration (MBA) or a Master of Finance (MSF) can elevate your qualifications and career prospects in investment banking. These programs offer opportunities for deeper specialization, advanced training, and access to expansive professional networks. Some investment banks also offer summer associate programs specifically for MBA students, paving a direct entry into the industry.
* Investment banking interviews are thorough and often involve technical questions, case studies, and behavioral evaluations. Prepare for interviews by honing technical skills such as financial modeling, valuation, and market analysis. Craft concise and persuasive answers to common interview questions, and be ready to discuss your relevant experiences, skills, and career aspirations.
Javier, remember that by adhering to this suggested career path and maintaining an active, flexible, and tenacious approach, you can enhance your prospects of securing a position in investment banking. Bear in mind that the journey into investment banking can differ for each individual, and it's crucial to tailor your strategy based on your interests, strengths, and career goals. Always be on the lookout for opportunities for learning, growth, and professional development to secure your success in the dynamic and fast-paced realm of investment banking.
Thank you, this is really helpful.
Javier
Joffre Torres
Consulting
1
Answer
Raleigh, North Carolina
Updated
Joffre’s Answer
The best way would to study Finance and get an internship at an IB firm during your Junior Year. What friends have done is to find an internship and get the full time offer.
Thanks for the help.
Javier
Violaine Gonzalez
Senior Associate
176
Answers
New York, New York
Updated
Violaine’s Answer
Hey Javier,
If you're looking to break into investment banking, it's a journey that involves a mix of education, hands-on experience, and building professional relationships. Here's a simple roadmap to help you navigate:
1. **Undergraduate Degree**: Investment banks recruit from a variety of disciplines, but having a degree in finance, accounting, economics, mathematics, or business administration can give you a head start. These subjects arm you with the financial knowledge and analytical abilities crucial for roles in investment banking.
2. **Coursework**: Make sure to enroll in courses that align with investment banking, like corporate finance, financial accounting, valuation techniques, financial modeling, statistics, and economics. Joining finance-related clubs or student organizations can help you sharpen your skills and connect with like-minded peers.
3. **Internships**: Landing internships in finance-centric roles is key to getting real-world experience and forging industry connections. Keep an eye out for internships at investment banks, financial advisory firms, or corporate finance departments. Summer internships during your college years can be especially beneficial for boosting your resume and getting a feel for the industry.
4. **Networking**: Building a strong network is a must in investment banking. Make the most of career fairs, networking events, and informational interviews to learn more about the industry and connect with professionals who can offer guidance and potentially recommend you for job openings.
5. **Advanced Degree (Optional)**: While it's not mandatory, some people opt for advanced degrees like a Master of Business Administration (MBA) or a Master of Finance (MFin) to bolster their qualifications and improve their chances of landing competitive roles in investment banking. These programs often provide specialized coursework and internship opportunities that can further equip you for a finance career.
6. **Entry-Level Position**: Once you've completed your education and gathered relevant experience through internships or entry-level roles, start applying for entry-level positions in investment banking such as analyst roles. These roles usually involve financial analysis, modeling, due diligence, and other tasks related to mergers and acquisitions, capital raising, and financial advisory services.
7. **Career Progression**: Investment banking is known for its ladder-like structure, with progression opportunities based on performance and experience. As you accumulate experience and showcase your skills, you might get the chance to climb to more senior roles like associate, vice president, and managing director.
Remember, throughout your investment banking journey, it's important to stay on top of industry trends, keep expanding your network, and seize professional development opportunities to keep your skills sharp and stay competitive in the field.
If you're looking to break into investment banking, it's a journey that involves a mix of education, hands-on experience, and building professional relationships. Here's a simple roadmap to help you navigate:
1. **Undergraduate Degree**: Investment banks recruit from a variety of disciplines, but having a degree in finance, accounting, economics, mathematics, or business administration can give you a head start. These subjects arm you with the financial knowledge and analytical abilities crucial for roles in investment banking.
2. **Coursework**: Make sure to enroll in courses that align with investment banking, like corporate finance, financial accounting, valuation techniques, financial modeling, statistics, and economics. Joining finance-related clubs or student organizations can help you sharpen your skills and connect with like-minded peers.
3. **Internships**: Landing internships in finance-centric roles is key to getting real-world experience and forging industry connections. Keep an eye out for internships at investment banks, financial advisory firms, or corporate finance departments. Summer internships during your college years can be especially beneficial for boosting your resume and getting a feel for the industry.
4. **Networking**: Building a strong network is a must in investment banking. Make the most of career fairs, networking events, and informational interviews to learn more about the industry and connect with professionals who can offer guidance and potentially recommend you for job openings.
5. **Advanced Degree (Optional)**: While it's not mandatory, some people opt for advanced degrees like a Master of Business Administration (MBA) or a Master of Finance (MFin) to bolster their qualifications and improve their chances of landing competitive roles in investment banking. These programs often provide specialized coursework and internship opportunities that can further equip you for a finance career.
6. **Entry-Level Position**: Once you've completed your education and gathered relevant experience through internships or entry-level roles, start applying for entry-level positions in investment banking such as analyst roles. These roles usually involve financial analysis, modeling, due diligence, and other tasks related to mergers and acquisitions, capital raising, and financial advisory services.
7. **Career Progression**: Investment banking is known for its ladder-like structure, with progression opportunities based on performance and experience. As you accumulate experience and showcase your skills, you might get the chance to climb to more senior roles like associate, vice president, and managing director.
Remember, throughout your investment banking journey, it's important to stay on top of industry trends, keep expanding your network, and seize professional development opportunities to keep your skills sharp and stay competitive in the field.
I appreciate you taking the time to answer this.
Javier