Investment bankers are professionals who assist companies in mobilizing capital. They are involved with large amounts of money and recognized as some of the most sought-after experts today.
Seeing this popularity of investment banking raises the question of how much Investment bankers earn in India. Also, we discover how to get into investment banking.
What is Investment Banking?
Investment banking is a fundraising technique for firms through debt or an equity offer. Another non-core function of investment banking is coordinating other functions, such as M&A corporate advisory and related services. Small firms may not even have dedicated professionals or individuals assigned to the responsibilities of investment bankers, and the corporate finance department may undertake such functions.
Unfortunately, an investment banker must have a perfect understanding of the investment environment and a sneak preview of various investment products. Usually, investment bankers are significant in a company, and if a company needs to make its initial public offer, it can do it. The investment banker is responsible for ensuring that any investment makes good returns, thus tending to price the IPO at the highest possible level.
Job Description of the Investment Banker
- · Investment bankers and their representatives are cutthroat selling people (more so if one includes them at the senior level). This means an investment banker should ideally possess excellent communication skills and interact with numerous people. Of course, sound interpersonal skills will help in the work of an investment banker.
- · Another core requirement of the Wall Street job as an analyst or an associate involves providing financial data for capital generation. The analysis of transactions and economic activities in terms of the effectiveness of bonds and stocks is significant for the accurate pricing and valuation of securities involved by the investment banker.
- · Financial consultants will also use the results to help clients decide on potential investments. Precise information is valuable, and a good investment banker will offer data that enables investors to make improved decisions.
Key Responsibilities
- · Acquisition of minable debt and equity structures in merger, acquisition, and capital raising transactions.
- · Conduct comparables analysis with other similar stocks, a precedents analysis, and a Discounted Cash Flow analysis.
- · Build call option recommendations for product portfolios, private equity deals, M&A, and valuations.
- · Perform work on companies and transactions, including preparing and reviewing client financing documents, investment memorandum, management presentations, and pitch books.
- · This will help the business seek new clients and deal with those it has not worked with before.
- · Engage in real-life transactions research, conducting, analysis, and documentation.
- · Prepare presentations for the portfolio that a company offers to a client.
- · Relevance to contemporary news and affairs, critical topics, and timely interests.
How much does an Investment Banker Earn in India?
The current interest of people concerned with investment banking career path and salaries in India emphasizes the dynamic and developing nature of the financial industry. Increased growth in the Indian Economy and even the changing dynamics of the security market bring a natural demand for trained and professional Investment bankers.
Average Monthly Salary of Investment Banker
For investment bankers, the average salary ranges between ₹ 33,849 – ₹ 35,106 per month, as highlighted in the ambition box.
Average Annual Salary
As per the research carried out by Ambition Box, the investment bankers’ salary usually ranges between 2 Lakhs and 20 Lakhs rupees per annum in India.
Average Annual Salary by Experience
Along with the nature of the job, the salary structure of investment bankers in India may also depend on the tenure of their experience in the profession. For those with less than one year up to eleven years of experience, the salary range falls between ₹2 Lakhs and ₹ 35 Lakhs to ₹40. According to Ambition Box, quantitative data analysis reveals that the median salary of an experienced Early Childhood Care and Development (ECCD) teacher is Five Lakhs.
Conclusion
To help aspiring Investment Banker employees understand the trends that significantly affect their salary in India. It is crucial for those seeking to thrive in this industry to understand the factors that define this profession. From the investment banking course, qualifications and experience of an investment banker, besides the hierarchy in the company or firm, the type of company, and even the region, could significantly influence one’s earnings. Moreover, awareness of current job market trends, new opportunities, and skills needed to succeed also allows job seekers and working professionals to become more aware of their career choices.