The movies have often projected investment bankers as fast-talking, corrupt and money hungry. Sadly, these characterizations are more fictional than based on reality.
The truth is, that the investment banking community has hard-working, intelligent and driven people. They are sharp, business-savvy individuals who can work with large sums of money, increasing value and assets that eventually help the country with economic growth. The average investment advisor makes informed decisions after much deliberation and analysis. They have had the training and education to back up their career choices.
So forget about what the films show us. If you have strong analytical skills, excellent communication capabilities and a knack for solving problems, you are a perfect fit for this industry. You need the commitment, dedication and education to join some of the finest investment banking companies in India. Are you ready for it? Let’s delve in.
What is investment banking?
People in this profession are trained to be financial advisors to various organizations, individuals and government agencies. The professionals who excel at what they do, end up working for the best investment banks in India. The industry is divided into three main categories, researching, analysing and underwriting. As an investment professional, you can pursue any one, or more, of the above options to launch your career.
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The ultimate goal is to multiply wealth through various investment opportunities. They evaluate assets, raise capital or increase net worth. Investment bankers do several functions to achieve the target goals. Some of their responsibilities are:
- Consult with corporations
- Assist with research
- Analyse risks involved
- Create strategic solutions
- Provide financial advice
- Predict future outcomes based on research
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Job profiles in investment banking companies in India
1. Private equity analyst
This is a highly respected designation where your job is to help an organisation generate economic growth by investing in smaller companies.
- Helps to raise capital from various sources
- Uses financial modelling to perform due diligence
- Conducts ratio analysis
- Researches the financial information of a company
- Assists buyers create a valuation when acquiring companies or assets
Salary details: The average income is Rs 8 lakhs a year, but can cross Rs 40 lakhs with experience
2. Mergers and acquisition manager
You will play a vital role in assisting a company in buying another firm or when two organisations merge.
- Conduct research on important financial information such as recent market developments or trends
- Create strategies to determine viable companies for investments
- Perform due diligence to ensure all paperwork is in order
- Advise companies on potential business targets
- Work on valuations, negotiations and final transactions
Salary details: The average income is around Rs 8 lakhs and moves up to Rs 15 lakhs a year
3. Underwriter
In this position, you can work with many investment banking firms in India to analyse applications for loans or investments.
- Make recommendations to companies on which application should be accepted
- Appraise and examine the risks involves during a large expense or for insurance purposes
- Perform due diligence on every application
- Analyse large quantities of financial data
Salary details: The average income is between Rs 6 to 11 lakhs a year
4. Equity research analyst
This is a very important field within the financial industry where you provide detailed information about various forms of investment
- Develop a detailed financial analysis to help investors figure out where to put their money
- Share investment opportunities and recommendations with investment bankers, hedge fund houses and mutual fund agencies
- Work out the business valuations and make predictions
Salary details: The average income is Rs 6 lakhs a year, but can cross Rs 20 lakhs with experience.
5. Asset manager
It is your job to help your client achieve their financial targets by managing their portfolios and assets.
- Advise clients on key investments and when to make them
- Keep track of the market fluctuations and changes
- Create a financial report for company shareholders
- Recommend a combination of investments such as equity, real estate, stocks, etc.
Salary details: The average income is Rs 9 lakhs a year, but can increase to over Rs 20 lakhs with experience.
MBA in investment banking V/S MBA in finance
The traditional route to a career in investment banking in India was through a master’s in business administration degree. Many banks and financial services companies hire professionals with an MBA listed on their resumes. While MBA in finance was the traditional choice, many institutes also offer an MBA in investment management. Both courses are for two years and require candidates to clear entrance exams such as CAT, XAT, GMAT, MAT, etc.
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MBA in investment management
This course teaches several topics related to the financial markets, macroeconomics, portfolio management and other connected concepts. You receive training on the practical and theoretical side of investment banking and can qualify in this genre once you receive your diploma or degree.
MBA in finance
Traditionally, an MBA in finance was the preferred choice for many budding investment bankers and financial specialists. The course covered many relevant topics such as investment portfolios, economic trends, risk management and business reports. Once you receive your MBA, financial management becomes your core competency. You can work in various positions within the investment banking industry.
The competition for admission into the best business schools in India and abroad is fierce. If you get into any of the top 20 B-schools, then it is worth doing your MBA. The chances of a successful career are high. However, if you can’t get the scores you need to apply for, or the fees are too high, another good alternative is to apply for a postgraduate certificate in management in investment banking and capital markets.
Proschool’s PGCM IBCM course
This unique, specially designed program provides the training and skills you need to qualify as an investment advisor. The course is concise yet specialised, as the syllabus covers every essential and advanced concept about the industry. While MBA programs last for two years, the PGCM is only for one. That is because the IBCM diploma focuses directly on job-centric subjects, unlike the MBA in finance course, which teaches generic subjects in the first years.
The course is affiliated with the All India Management Association (AIMA). It is also an AICTE-approved qualification. After receiving your certificate, you can go on to do the diploma in management course (PGDM), which is equivalent to the MBA. However, you must do it within five years of receiving your PGCM.
This course is recognised by leading universities worldwide as the 16th year of education. So, if you eventually do an MBA in investment banking abroad, this certification will help you achieve your academic requirements.
All you need is a minimum average score of 50 per cent from a recognised university, and you can apply for the postgraduate certificate today.
Here are some of the subjects covered in the PGCM IBCM course:
- Business statistics
- Financial markets
- Business communication
- Financial management
- Project finance and equity modelling
- Business simulation
The IMS Proschool advantage
The PGCM IBCM is fast becoming one of the best investment banking courses in India. It makes sense to do it from one of the country’s most reputed professional institutes. There are many benefits to getting your IBCM certificate in management from Proschool. The reputed institute’s previous track record speaks for itself. Many students have gone on to enjoy flourishing careers after studying at this fine institution. The PGCM course in IBCM is another feather in their already illustrious cap.
Here are some reasons why:
- Innovative learning methodologies that ensure that students understand, not memorise
- You learn by working on ten case studies
- Training includes essential skills such as analytics and financial modelling
- A strong team of faculty members who have been a part of the financial industry
- The teachers offer students the benefit of their tremendous knowledge through personalised attention
- The students are professionally groomed to apply for jobs after the course
- There is placement assistance that helps students with resume writing and mock interviews
- You can attend live classes during the weekdays if you live in Delhi, Mumbai or Pune
- Other students can avail of the high-quality online sessions during the weekends
- Once you complete the course, you are ready to become a key player in the investment banking industry
In conclusion
Investment bankers are a strong force of professionals who work hard to help companies achieve more value. They are responsible for various financial actions that lead to profitable ventures, such as raising capital, building portfolios, acquiring smaller companies, etc.
If this line of work is exciting for you, congratulations, you have found your calling. However, if you want to pursue investment banking in India, you need the right qualifications, such as a traditional MBA or an updated certificate such as the PGCM IBCM. Once you are certified, you can begin your financial journey and work for the top investment banks in India, mutual fund companies, or hedge fund houses. You’ll be well on your way to launching a successful, lucrative career.
Proschool’s blog on investment banking in India provides invaluable insights, helping aspiring professionals make informed career decisions.