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Investment Banking Career Paths


Investment Banker Positions

The career of an investment banker progresses along a fairly standard path. Investment banking positions from junior to senior:

  • Analyst (grunt)
  • Associate (glorified grunt)
  • VP (account manager)
  • Director (senior account manager, rainmaker in training)
  • Managing Director (rainmaker)

Some banks call certain investment banker positions different names or have added levels of hierarchy. For example, sometimes banks separate Senior Vice President from Vice President. Other times, Director is split up into Director and Executive Director (more senior). However, regardless of the names, the general job functions of each relative position tend to be consistent bank to bank.

If you are an undergraduate, you are applying to banks with the aim of landing an investment banking analyst position. Assuming you do well, have an interest in staying, and there is a need, some banks offer direct promotions from analyst to associate instead of requiring that you go back and get your MBA (typically called “A to A”). If you are an MBA student, you are applying to banks with the aim of landing an investment banking associate position and aspire to work up the ranks to Managing Director one day.

The Investment Banking Analyst

Investment banking analysts are typically men and women directly out of undergraduate institutions who join an investment bank for a two-year program.

Analysts are the lowest in the hierarchy chain and therefore do the majority of the work. The work includes three primary tasks: presentations, analysis, and administrative.

After two years of working for the investment bank, top performing analysts are often offered the chance to stay for a third year, and the most successful analysts can be promoted after three years to investment banking associate. Analysts are the lowest in the hierarchy chain and therefore do the majority of the work. The work includes three primary tasks:  presentations, analysis, and administrative.

Investment banking analysts spend a lot of time putting together PowerPoint presentations called pitch books (click  here to see an example of a pitch book). These pitch books  get printed in color and are bound with professional looking covers (usually in-house at the bulge brackets) for meetings with clients and prospective clients. The process is very formatting intensive, attention to detail is critical, and many analysts find this part of the job to be the most mundane and frustrating.

The second task of an analyst is analytical work. Pretty much anything done in Excel is considered “analytical work.”  Examples include entering historic company data from public documents, financial statement modeling, valuation, credit analysis, etc.  Interview questions often focus on this part of the job and Wall Street Prep’s training programs are focused on demystifying the analytical work that analysts are expected to perform.

The third main task is administrative work. Such a task involves scheduling, setting up conference calls and meetings, making travel arrangements and keeping an up-to-date working group list of deal team members. Lastly, if you are the sole analyst on the deal and it is sell-side (you’re advising a client on selling its business), you may have control of the virtual data room and will need to keep it organized so all parties have access to the information.  It is an interesting experience in that there are several data room providers and many times they will try to win business by offering free sports tickets, etc. It gives you a chance to feel how your clients feel as you try to win their business.

The Investment Banking Associate

Investment banking associates are usually recruited directly out of MBA programs or analysts that have been promoted.  Typically, bankers will be at the associate level for three and a half years before they are promoted to Vice President. Associates are also categorized into class years (i.e. First Year, Second Year and Third Year or say, Class of ‘05, ‘06 and ‘07). The number of years it takes for Associates to get promoted actually depends on the bank. Sometimes it could be more than three and a half years if there is not a need for another Vice President.

At that point, an associate should evaluate whether it makes sense to stay at the bank or try to move elsewhere to receive a promotion.

The investment banking associate’s role is similar to the analyst’s role, with the additional responsibility of serving as a liason between junior and senior bankers, and in some instances, to work directly with clients.

How Analysts and Associates Work Together

Analysts and associates work very closely together.  Associates check the work of analysts and assign them tasks.  Checks could be in-depth where the Associate literally looks through models and checks inputs with filings or it could be much more high level where the Associate looks at an output and determines whether the numbers make sense.

The Senior Bankers (VPs and MDs)

Senior bankers primarily source deals and maintain relationships. Senior bankers have a wide variety of past backgrounds ranging from investment banking to corporate executive management.

Aside from relationships, senior bankers often understand their industry landscape at a very detailed level and can anticipate deals in the sector. As economic environments shift, they anticipate when companies will need to raise capital or when strategic discussions (M&A, LBO) are necessary. By anticipating such needs, Managing Directors can start crafting appropriate pitches early-on to clients with the aim of turning these pitches into live deals.

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  1. May 21, 2018


    I have academics in 65 + I want to get into investment banking. With lower scores how can I make it happen? Does a good gpa in B school compensate low academic scores for I banking? What are the other ways I can improve my profile?

    • May 21, 2018
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      Haseeb Chowdhry


      I’m sorry – are you planning on going back to school for an MBA? I’m not sure I fully understand the question. In general, yes, strong academics is key, but there are ways to get your foot in the door after an MBA. And yes, you need to do well in your MBA program as well. Thanks.


      • May 22, 2018


        Yes I would likely to go for mba. If I get good grades in mba do I have chance to get into i banking?

        • May 22, 2018
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          Haseeb Chowdhry

          Definitely – that is a solid route!

          • May 22, 2018


            What about Indian investment banks? Even they require good academic scores?

          • May 22, 2018
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            Haseeb Chowdhry


            I’m not an expert within the Indian market, so I cannot comment on this – apologies.


  2. March 25, 2018


    I am pursuing my pgdm in the field of finance from Hyderabad. I want to become a vice president in an investment bank. So what additional courses should I do, like CFA, to get that position and can you tell me about the career path. Your suggestion will be really helpful. Thank you.

    • April 1, 2018
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      Haseeb Chowdhry


      What is the PGDM designation? Normally, to become a VP at an investment bank, you need to have been an Associate, which is typically the rank you get hired at after an MBA. As an associate, it might take between 3-5 years to get promoted up to Vice President. Hope this helps – thanks.

      – Haseeb

  3. March 14, 2018


    Dear Haseeb

    Greetings !

    This post was quite insightful and I found it useful for my research.

    I’m eagerly interested to learn finance and build a career in the financial services industry. I currently live in India and hold a bachelor’s degree in commerce. I also have an experience of one year in Business development. In order to further my education, I’m planning to apply for a relevant masters degree to Business schools in the United states or Canada THIS YEAR.

    My questions
    1. Is it possible for someone who has an undergraduate degree in business but no work experience any field related to finance to make a successful career in the financial services industry (Investment banking in particular) in the US or Canada?
    2. What would it take for a student in India to start towards building a career in financial services in the US or Canada ? Is it work experience or a masters degree ? An internship ? An industry oriented training program on financial modeling, LBO etc. ? Networking ?
    3. Are there prospects for hiring graduate students(Students from outside the US) for investment banking analyst positions or other finance related jobs in the industry ?
    4. In terms of your experience, have students from the outside the US with no background in finance, pursued masters degrees in finance in the US or Canada ? Were those students successful in building careers in finance in the US or Canada ?

    These are some of the questions I had in mind and would be happy to have your respective responses for the same.

    Look forward to your thoughts or advice.


    • April 2, 2018
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      Haseeb Chowdhry


      1) Yes – if you are going for an MBA and specializing in Finance and/or Accounting

      2) It would be helpful to obtain transferable work experience in finance/accounting roles (Corporate Strategy, FP&A), or at a financial services firm

      3) Yes – but, you need to probably get into a top 20 MBA program to be competitive for the top finance jobs (banking, trading, equity research) after an MBA; an alternative degree to look into is the Masters’ of Finance

      4) Yes – but along with the degree came a lot of networking, hustle, drive, and resilience 🙂

      Hope these answers helped – apologize for the delayed response Ranjan!

      – Haseeb

      • April 12, 2018


        Hi Haseeb,

        Thanks for the reply !!

        Indeed these answers help make a lot more sense in addressing the questions I had in mind.


  4. January 8, 2018

    Mihir rajyaguru

    Currently I am working with a private bank in india into retail branch banking with 11years of experience. Currently I am handling branch of 8 resources.
    I want to further build my career as an investment banker.
    Kindly suggest.

    • January 8, 2018
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      Haseeb Chowdhry


      The best ways to get into investment banking are to get an MBA or pursue graduate studies, particularly if you have had extensive experience in one field. Happy to provide additional feedback if necessary – thanks.


  5. November 13, 2017


    Please suggest me i have done MBA in marketing and i want to start my career in investment banking so is it possible for me to start through doing a certification course in investment banking for 2 month.

    • November 15, 2017
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      Haseeb Chowdhry


      Good question – where are you trying to enter the investment banking profession? The US, Canada, or Europe? Would love to provide more targeted advice – thanks.


  6. October 31, 2017

    A.rakesh singh

    Hi., Can you please advise me how to start my career in investment banking as mine age is 29 and I had 3 year experience in MNC company (genpact).As a investment banker in kyc process.please help me off. Thanks

    • November 2, 2017
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      Haseeb Chowdhry


      Do you have an MBA? That is typically a solid way into entering an IBD program, but it depends on the market. I cannot comment on international markets, but for the US, Canada and Europe, the typical process is either to obtain an MBA or Master’s in Finance, and then to join the recruiting cycle. Hope this helps!


  7. August 3, 2017

    sumit soni

    Dear sir/mam,
    I am a qualified Chartered Accountant from India. I want to build my career in Investment banking. I want to know whether by pursuing Executive MBA ( i.e PGXPM) down the line after five/six years will help me to boost my designation to the top hierarchy or not. Moreover is it advisable to pursue Executive MBA if someone is willing to build career in Investment banking?

    • August 18, 2017
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      Haseeb Chowdhry


      An executive MBA is rare for a banker, but it may be possible at higher levels (i.e. Director level)…typically bankers do full time MBAs and join as Associates. Hope I answered your question – thanks!


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