How to Become an Investment Banking Analyst: Career, Courses, Jobs, Salary, Scope

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Ahana Bhaduri

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Investment Banking Analysts deals with the company's finance as well as their transactions. They research the best investment opportunities for their clients and companies with the goals of expansion and improvements. They maintain the investment database of their clients or companies and help them in preparing proposals for the prospective clients

BBA Finance, BCom, CFA and MBA Financial Management are some of the top courses that can be pursued by candidates aspiring to become Investment Banking Analysts. Apart from these courses, candidates aspiring to become Investment Banking Analysts can pursue various undergraduate and postgraduate Banking Courses, Finance Courses, Management Courses. Admissions to these colleges are usually done on the basis of Management Entrance Exams, however certain colleges grant admission on the basis of merit as well. The average course fees for a regular BCom or BBA ranges from INR 5,000 – 1.50 LPA. However the cost of an MBA course from a reputed MBA College or institute usually ranges between INR 5.50 LPA – 9 LPA.

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The average salary of an Investment Banking Analyst ranges between INR 4.50 LPA - 8 LPA. The salary of an Investment Banking Analyst depends upon various factors such as the banks that they are associated with, capital markets, mergers and acquisitions, sales and trading, private equity and so on. Goldman Sachs, HDFC Bank, JP Morgan, HSBC, Merrill Lynch, Morgan Stanley, are some of the companies which recruit Investment Banking Analysts. Read More: Salary of an Investment Banker

How to Become an Investment Banking Analyst

To become a successful Investment Banking Analyst candidates must fulfil certain eligibility criteria that are listed below,

  1. Candidates must have a good grasp in Financial Modelling and investing as this may help them in their career.
  2. Candidates should have studied Commerce during their +2 and should complete their bachelor’s with either BBA Finance or in BBA in Financial Management specialization.
  3. Candidates can also pursue degrees Economics and Financial Analysis in order to become an Investment Banking Analyst
  4. There are several Management Entrance Exams conducted both for undergraduate and postgraduate courses such as SET, DU JAT, CUCET, IPU CET etc, that must be cleared to be able to get admissions across top tier Finance Colleges and Management Colleges in India
  5. Students can also go for a CFA (Chartered Financial Training) as this can help them in getting knowledge about Finances and Investment.
  6. Some of the companies hire professionals for their entry level position however having an experience and an MBA degree will help candidates get placed across higher position

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What Does An Investment Banking Analyst Do

Investment Banking Analysts research the best investment opportunities for their clients and companies with the goals to increase their revenue. Some of the other jobs responsibility an Investment Banking Analyst do are given below:

  1. They analyse their clients investment banking transactions, create presentations and provide support and advice to their senior staff and managers.
  2. They review their existing portfolios and check which stocks are performing well in the market and which needs to be replaced.
  3. They also conduct a preliminary valuation for work and are responsible for the complication of their existing stock lists.
  4. Investment Banking Analysts maintain the investment database of their clients or companies and help them in preparing proposals for the prospective clients.
  5. They work as a direct interface to their customers or clients and help them in tackling the financial risks and returns by giving good investment recommendations.

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Scope of an Investment Banking Analyst

An Investment Banking Analyst works for their various governemnt and private organizations to raise funds for their expansion and invest in markets to raise capital for their clients. 

  1. As they move along with these job positions after gaining substantial years of experience, they get raised to higher positions as well as responsibilities as per the job role that they are assigned to. 
  2. After becoming an Investment Banking Analyst, candidates can get job positions such as Business Analyst, Investment Banking Associate, Project Manager, VP Investment Banker, Financial Analyst, etc.
  3. Other than finding jobs, they can also pursue an MBA or a PhD course in a related field to be specialized in their job roles. 
  4. It is always said that the higher the degree earned higher will be the job positions, so a candidate with a degree of MBA in Financial Management will get better job opportunity and pay package than those having an undergraduate degree.

Top Job Profiles

After completing a course in Investment Banking Analyst, candidates can look out for various job opportunities in various areas. Some of the most popular job roles of an Investment Banking Analyst are described in the table below along with their job description and average annual salary package.

Job Profile Job Description Average Annual Salary
Investment Banker An investment banker's job role is to conduct strategy research and diligence study on stocks. They sell equity in the market to raise capital for their clients and facilitate acquisitions and mergers. INR 8.04 L
Investment Banking Associate They create and prepare valuation models for the company to specify the accretion or dilution analysis. They determine the investment opportunities for their company or clients and record their consideration. INR 6.71 L
VP Investment Banker Their responsibility is to perform the valuation of finance, lead the execution of debt or equity of the company, and support the account coverage with clients. They analyse the corporate and financial information and help in building relationships with the clients through pitching and execution. INR 16.80 L
Financial Analyst A financial analyst is an individual who works closely with the accounting team for ensuring that the financial reporting is accurate and performs the financial forecasting. They analyse the performance of the past as well as the current financial data and explore the investment opportunities. INR 4.85 L

CheckInvestment Banker Course

Skills Required to Become an Investment Banking Analyst

Having a good amount of financial knowledge and skills of proper tools will help candidates in building a career in investment banking. Tabulated below are some of the essential skills required to become an Investment Banking Analyst.

Financial Models Capital Raising
Capital Markets Client Presentations
Healthcare Due Diligence
Private Equity Client Meetings
Discounted Cash Flow Leveraged Buyout
Financial Statements Selling
Powerpoint Investment Banking

Check: Financial Modelling Courses

Top Recruiters for Investment Banking Analysts

Some of the top recruiters which hires an Investment Banking Analyst are given below in table:

Goldman Sachs HSBC
Citigroup Wells Fargo
Bank of America Merrill Lynch Accenture
Morgan Stanley HSBC Electronic Data Processing India
Jo Morgan Wipro Technologies

Salary of an Investment Banking Analyst in India

The salary of an Investment Banking Analyst in India typically ranges between INR 4.50 LPA to INR 8.50 LPA in India. However the salary of an Investment Banking Analyst gradually rises with growing experience, exposure, updated skills and knowledge. 

Tabulated below is the salary of an Investment Banking Analyst on the basis of the organization that they are associated with.

Company Name Average Annual Salary (INR)
Tata Consultancy Services 3.93 L
Wipro 4.17 L
HSBC Electronic Data Processing India 5.15 L
Acuity Knowledge Partners 5.46 L
ICICI Bank 7 L
Verity Knowledge Solutions 7.26 L
Accenture 9.03 L
HSBC 12.50 L
HDFC Bank 13.30 L
Deutsche Bank 13.60 L
J.P. Morgan 15.90 L
Goldman Sachs 17.50 L

Check: Company Wise Salary of an Investment Banker

How to Become an Investment Banking Analyst: FAQs

Ques. What qualifications do you need to be an investment banker analyst?

Ans. There is no specific degree needed to start your career as an Investment Banking Analyst as most of the recruiters hire candidates who have specific skills in finance not on the basis of their degree. However, transferable skills from subjects such as economics, mathematics, finance and business may add an advantage.

Ques. How long does it take to become an Investment Banking Analyst?

Ans. One can start their career as an Investment Banking Analyst after completing their undergraduate degree, however it may take around two to three years experience as well as a graduate degree with specific skills to advance the career from an associate to investment bank.

Ques. Is it hard to be an Investment Banking Analyst?

Ans. The entry level job positions in most of the companies is investment banking and this is a most competitive job field among the graduates. Most of the companies look for smart, skilled, and educated candidates who already have a firm grasp on financial modeling as well as quantitative skills.

Ques. What should I study to become an Investment Banking Analyst?

Ans. Bachelor of Commerce Hons, Bachelor of Arts in Finance or Economics, Bachelor of Business Administration in Finance are some of the degree specializations which most students choose for this career. Along with this students can pursue Chartered Financial Analyst Programme for this career.

Ques. What is more valuable for an investment analyst MBA or CFA ?

Ans. In most cases, getting a CFA certification is a solid credential for most of the investment jobs. It is worth considering if you are looking for an entry-level job in investment banking. In fact, this will probably serve you better than an MBA degree from any business college other than the top 20.

Ques. Is there a demand for investment bankers?

Ans. According to a report of the US Bureau of Labor Statistics, the jobs of an Investment Banking Analyst in fields like securities, commodities and financial services will increase by 10% by 2024, which is faster than the average of other job occupations.

Ques. What is the expertise an Investment Banking Analyst needs?

Ans. An investment analyst with expertise in areas such as accounting, financial modeling, project financing, project Valuation, and financial statement analysis will add value to their clients and companies. 

Ques. What are the job roles of an Investment Banking Analyst?

Ans. Investment Banker Associates, VP Investment Banker, Director Investment Banker are some of the job positions of an Investment Banking Analyst.

Ques. What are the best books for an Investment Banking Analyst?

Ans. Candidates who are preparing for the job of an Investment Banking Analyst can read books such as "The best books of investment", "The Man who sold the Market", " Middle Market M & A" and Financial Modelling and Valuation.

Ques. What are some of the top colleges for Investment Banking Analysts?

Ans. IIM Bangalore, IIM Indore, Faculty of Management Studies, Indian School of Business Hyderabad, National Institute of Security Markets are some of the top Business schools for this career.

Master of Business Administration [MBA] (Finance) : 70 answered questions

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Ques. Which college would you go for if you were interested in an MBA in finance among new IIMs and IIT Madras?

● Top Answer By Lovish Bajaj on 21 Jun 24

Ans. Almost all of the colleges listed here are in the top 20 list of MBA colleges in India for Finance. Among the new IIMs, the ones good for Finance are IIM Ranchi, IIM Rohtak, IIM Raipur, IIM Udaipur, and IIM Kashipur.  The table below draws a comparison of the MBA programs offered by the institutes. Institute Fees Average CTC New IIMs IIM Ranchi- 17.5 Lakh IIM Ranchi- 18.37 LPA IIM Rohtak- 17.6 Lakh IIM Rohtak- 19.27 LPA IIM Raipur- 16.1 Lakh IIM Raipur- 19.7 LPA IIM Udaipur- 19 Lakh IIM Udaipur- 20.3 LPA IIM Kashipur- 17.3 Lakh IIM Kashipur- 18.10 LPA IIM Shillong 22.71 Lakh 26.1 LPA XIMB 21.3 lakh 15.12 LPA IMT Ghaziabad 21.5 lakhs 16.56 LPA IIT Madras 10.9 lakhs 16.93 LPA IMI Delhi 22.25 LPA 17.20 LPA TAPMI  19.45 LPA 13.84 LPA Top recruiters at these institutes include Tata Steel, Cognizant, Capgemini, Accenture, Apollo Munich, Godrej, Emami, Nestle, Titan, Maruti Suzuki, PCBL, HDFC Bank, Mu Sigma, Larsen & Toubro, GMR, Tata Steel, Godrej & Boyce, and Vedanta and many more.  All of the mentioned institutes are good for MBA in Finance. However I would recommend IIT Madras as it has the lowest fees and a good average package.Read more
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Ques. Which one should I choose: MBA at IIT Kharagpur (operations) or IMT Ghaziabad (finance)?

● Top Answer By Akriti Banerjee on 06 Oct 23

Ans. IIT Kharagpur for operations would be better than IMT Ghaziabad (finance). As IMT Ghaziabad is more famous for its marketing course than finance. IIT Kharagpur is known for its operations management program and has a strong reputation as an institution of the Indian Institutes of Technology (IITs). A few key aspects of IIT Kharagpur are as follows: In 2023 IIT Kharagpur secured 14th rank among all top management schools in India. This does reflect its academic excellence, infrastructural abilities, faculty strength, and placement records.  The faculties are adequately skilled and helpful while imparting quality education. The hostel's amenities include triple and double sharing, as well as all the essentials. The food is of high quality, and you will have four meals. The admissions procedure includes signing up for the hostel. Accommodation in a hostel is required for all students. IIT Kharagpur placements 2023 have been concluded. IT Kgp highest package stood at INR 43.37 LPA whereas VGSOM IIT Kharagpur's average package stood at INR 22.13 LPA. So based on these aspects IIT Kharagpur is a better option for pursuing an MBA in operation management.Read more
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Ques. How good is the department of financial studies MBA (FM), Delhi University?

● Top Answer By Akriti Banerjee on 15 Sept 23

Ans. My brother was a student at this college and so this answer is based on his experience solely. The Department of Financial Studies is a CFA-affiliated college wherein you can get a scholarship for pursuing a CFA degree. Its MBA program is highly coveted. It's the best option for you if you want to pursue a career in Finance and fail to make it to other B Schools. Here are some factors to consider  Fees: The low fees charged by DFS is the USP of the college. You can pursue an MBA at just 26000. IIMs fees on the other end are very high Around 13–24 lakhs. So DFS offers a better ROI than IIMs. Curriculum: Curriculum-wise, DFS cannot be compared to IIMs that have excellent course structure at par with foreign universities. DFS follows the semester pattern, unlike the trimester pattern in IIMs. IIMs conduct case study competitions but this is not the case at DFS. Faculty : DFS has some very well-educated and experienced faculty members much better than at least the new IIMs. Placement: The placements at DFS are at par with new IIMs only and not other top IIMs.  Alumni: The small batch size of DFS has failed to establish an elaborate alumni base in contrast to IIM Ahmedabad. Ultimately, if you don’t want a huge loan to repay at the end of 2 years or the IIM tag, DFS is the best optionRead more
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Ques. Which college is better for PGDM Finance SIESCOM or N L Dalmia, XIME, Bangalore or NDIM, New Delhi or UBS, Mumbai?

● Top Answer By Tithi Aggrawal on 05 Sept 23

Ans. You can consider XIME Bangalore as your first choice, then SIESCOM and NL Dalmia as your second and third choices, respectively. It is better not to consider NDIM or USB since they are bad at academics and placement support. XIME has a decent placement package, a good academic history, well-equipped classrooms, a resourceful atmosphere, and experienced scholars. So, take a wise decision, and all the best for your future.Read more
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Ques. What is the cutoff of NL Dalmia for a PGDM in finance?

● Top Answer By Tithi Aggrawal on 05 Sept 23

Ans. NL Dalmia does not follow the exact cutoff criteria. The cutoff ranges from 92 to 95% for the general category. The admission process is based on your score in the entrance examination and the interview conducted by the institute. This institute accepts various entrance examinations like XAT, CAT, CMAT, ATMA, etc. for a PGDM program. Read more
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Ques. Which college is good to go to with options like Welingkar School, IBS Hyderabad, IFIM Bangalore and IMT Hyderabad, when my interest is in MBA Finance?

● Top Answer By Divya Saraf on 04 Sept 23

Ans. First of all, congratulations on graduating and making the best decision to opt for an MBA in Finance. You have to carefully examine the infrastructure, fees, facilities, and faculties before confirming an institute, and this is a crucial step for every candidate.  Let us have a brief comparison of the colleges you have preferred- IMT Hyderabad – This institute is known for its infrastructure, location, and faculty, but it is new and lacks experience when compared with institutes like IMT Nagpur. IFIM Bangalore – They are good at academics but charge exorbitant fees. IBS Hyderabad – They have a resourceful atmosphere in their college and are good at infrastructure. Every class is filled with a greater number of students, and they also charge a high price for each seat. Welingkar School – They are superlative at infrastructure, faculty, academics, facilities, and campus life. Most importantly, they follow affordable fee schemes for the students. So, you can go with the option of Welingkar School for your studies.Read more
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Ques. How are the placements for Master of Business Administration [MBA] (Finance) at DIT University Dehradun?

● Top Answer By Nischal Sinhmaar on 21 May 24

Ans. So they provide campus placement as well as internships average package 6LPA an percentage rate of placed students or employability is around 70% from campus and if I talk about my plants I will pursue my PHDRead more
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Ques. How is the course curriculum of Master of Business Administration [MBA] (Finance) in DIT University Dehradun?

● Top Answer By Priyanka on 24 Nov 24

Ans. The opportunities you got after doing masters of business administration is not what you can after doing just graduation. The frequency was very fast because in MBA you have trimester thing so we need to give the assessment in every 3 monthsRead more
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Ques. How are the placements for Master of Business Administration [MBA] (Finance) at Presidency College Bangalore?

● Top Answer By Anonymous on 03 Jan 25

Ans. From 3rd semester we will get opportunity for placement there are lot of companies which come for finance and marketing as of now we have got KPMG concentrix many more students should get 60% placement sir is good my plan is to get in to jobRead more
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Ques. How is the course curriculum of Master of Business Administration [MBA] (Finance) in Presidency College Bangalore?

● Top Answer By Anonymous on 03 Jan 25

Ans. Courses that include case studies, projects or internships Presence of experienced professors or industry professionalsCourses incorporating practical applications like internships industry collaborations or live projects offer strong real-world preparation. Curriculum alignment with certification programs or in-demand skillsets enhances employability Limited focus on industry-relevant tools or outdated content might hinder readinessIncrease interactive and experiential learning methods e.g., flipped classrooms, group discussionsRead more
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