How To Get a Job In Investment Banking

Investment banking is one of the most sought-after and high-paying careers in finance. Yet, many aspirants have only a vague idea about what an investment banker actually does, what skills are required, or how to enter the field successfully. at how to get a job in investment banking This guide breaks down every essential aspect—from understanding the job to building the right skills, expected salary, and strategies to land your first role in investment banking.

What Is InvestmentBanking?

Investment banking involves working with large companies and investors to help them raise money, manage deals, and make major financial decisions. These could include Initial Public Offerings (IPOs), mergers, acquisitions, or large-scale fundraising.

For example, when Jio launched its IPO, investment banks played a crucial role. They worked with the company to determine business valuation, share pricing, investor allocations, and deal structures. Essentially, an investment bank manages everything—from designing deals to negotiating with investors. how to get a job in investment banking

The work demands financial modeling, valuation analysis, client interaction, and an in-depth understanding of financial markets. It’s a demanding career but also one of the most rewarding ones in finance.

Job Role of an Investment Banker

An investment banker assists large corporations and institutions with:

Mergers and Acquisitions (M&A):  Helping companies buy, sell, or merge with others strategically.

Fundraising: Guiding firms on how and when to raise capital through debt or equity.

Valuation and Financial Analysis: Determining a company’s worth using data models and forecasting.

Negotiations and Deal Structuring: Creating the best possible terms for their clients.

Client Relationship Management: Maintaining professional connections to secure future deals.

In developing countries like India or Pakistan, beginners typically start in **back-end roles**, focusing on data, financial modeling, and research. Direct client interaction increases gradually as you gain experience.

Essential Skills to Crack Investment Banking

There are two types of skills every aspiring investment banker must develop: **technical skills** and soft skills.

1. Technical Skills for how to get a job in investment banking

a. Advanced Excel:

You must be proficient in Excel, especially advanced tools like pivot tables, macros, VLOOKUPs, and complex formulas. Most financial models are built using Excel.

b. Financial Modeling and Valuations:

This involves projecting a company’s future financial performance and determining its value. Without mastering Excel, you can’t effectively perform financial modeling.

c. Accounting Knowledge:

Understanding how balance sheets, income statements, and cash flow statements work is crucial. Finance and accounting are interlinked—without one, you can’t master the other.

d. Financial Statement Analysis:

This helps in understanding a company’s performance, ratios, and growth potential. Many concepts are also covered in CFA and MBA finance courses.

e. Degrees and Certifications:

CFA (Chartered Financial Analyst): Provides deep knowledge of finance, valuation, and investment management.

MBA or MSc in Finance: From a reputed college, these degrees enhance your placement and salary prospects.

FRM (Financial Risk Management):  Not mandatory for investment banking but useful if you want to understand risk analysis.

2. Soft Skills

Soft skills are equally important to succeed in the corporate world:

* Strong **communication and presentation** skills

* **Analytical thinking** and decision-making ability

* **Networking and relationship building** with clients

* The ability to **work under pressure** and long hours

Remember, investment banking requires focus, consistency, and the ability to handle high-stress situations effectively.

Salary and Lifestyle of Investment Bankers

The salary of an investment banker varies based on education, experience, and company.

Freshers (with basic skills):  ₹6–12 lakh per year

Postgraduates or CFA Level 1 holders: ₹12–20 lakh per year

2–5 years of experience: ₹20–30 lakh or more annually

10+ years of experience: Among the highest in finance—sometimes exceeding ₹1 crore annually

 

Lifestyle Insights

While investment banking offers high salaries, it’s equally demanding. Bankers often work **60–80 hours per week**, especially during critical deal periods. Deadlines are tight, and responsibilities are huge.

If you’re looking for a perfect work-life balance, this might not be the field for you. However, if you’re passionate about finance and ready to put in the effort, investment banking can lead to exceptional career growth and financial rewards.

How to Get a Job in Investment Banking

Getting into top firms like Goldman Sachs or JP Morgan directly can be tough, especially if you’re from a non-Ivy League or non-top-tier college. But there’s a clear roadmap:

1. **Start Small:** Join boutique or mid-size investment banks. The salary may be lower, but you’ll gain practical experience and exposure to real deals.

2. **Build Skills:** Learn financial modeling, Excel, and accounting thoroughly. Online certifications and internships can boost your résumé.

3. **Network on LinkedIn:** Connect with professionals in finance, join relevant groups, and apply strategically.

4. **Work on Internships:** Gain industry experience even if unpaid initially—it will strengthen your portfolio.

5. **Switch Up:** After 2–3 years of experience, you can target bigger banks or global firms.

Consistency and patience are key. The field is competitive, but growth opportunities are limitless.

Education Path for Investment Banking

If you’re serious about becoming an investment banker, consider the following educational paths:

Undergraduate Degrees:  B.Com, BBA (Finance), or Economics.

Postgraduate Degrees: MBA or MSc in Finance from reputed institutions.

Professional Courses: CFA, CIMA, or CPA (for international exposure).

While degrees are important, practical knowledge and skill application matter even more. Employers value real-world problem-solving over theoretical understanding.

Challenges in Investment Banking

• Long working hours
• High pressure to close deals
• Intense competition
• Need for continuous skill upgrading

Despite the challenges, the rewards in terms of salary, growth, and exposure are unmatched.

Summary

Investment banking is not just about money—it’s about mastering finance, understanding markets, and solving complex business challenges. Start by learning **advanced Excel, financial modeling, and accounting fundamentals**. Pursue **CFA or MBA** if possible. Begin with smaller firms to gain experience and then aim higher.

If you’re ready to put in the hard work, investment banking can be one of the most fulfilling and profitable careers in the finance world.

 Top 10 FAQs About Investment Banking

1. What is investment banking in simple terms?

Investment banking helps companies raise capital and manage large financial transactions like mergers and IPOs.

2. Do I need an MBA to become an investment banker?

Not necessarily, but an MBA from a good institute increases your chances of landing top roles.

3. Is CFA important for investment banking?

Yes, CFA provides strong financial knowledge and credibility in the finance industry.

4. What are the key technical skills required?

Advanced Excel, financial modeling, valuation, and accounting are essential skills.

5. Can freshers get investment banking jobs?

Yes, but mostly in back-end or analyst roles. With experience, you can move to front-end positions.

6. How many hours do investment bankers work?

Typically, 60–80 hours per week depending on the company and project.

7. What is the average salary for beginners?

Around ₹6–12 lakh annually in India for entry-level positions.

8. What’s the difference between front-end and back-end roles?

Front-end involves client interaction and deal making, while back-end focuses on analysis and data work.

9. Is investment banking stressful?

Yes, it demands long hours, accuracy, and intense focus—but the rewards are significant.

10. How can I start my journey today?

Start by learning Excel, financial modeling, and accounting basics through online courses, then look for internships.