An Investment Bank is a bank that underwrites securities, working on mergers and acquisitions and stock exchange listings. Investment banks raise finance for companies or organisations and also offer advisory services.
Investment Banks raise capital on behalf of companies, organisations or governments, buy and sell securities such as equities and bonds and also facilitate mergers and acquisitions.
As well as raising money (as described above) for clients, investment banks offer advisory services for clients, such as strategic consulting and managing mergers, acquisitions and demergers.
Investment banks are typically split into three operational areas:
Front Office - the sales and marketing function, which interacts with clients and initiates transactions.
Middle Office - which supports the transactions and services offered by the front office.
Back Office - the part of the bank which provides the administrative and organisational support required for the efficient running of the business.
Jobs in investment banks include:
Traders and Brokers.
Analysts.
Strategists.
Structurers.
Risk Managers.
Compliance Officers.
Treasury specialists.
Operations.
IT specialists.
Qualifications
Many people working in investment banking have undergraduate degrees and an excellent academic record. Some roles demand professional qualifications (e.g. accounting roles) and registration with the Financial Services Authority.
Salary Snapshot
Recent salaries advertised on TopFinancialJobs (February 2010) include:
£50-60,000 per annum for a Finance Business Partner working for a leading banking group in the City of London.
£500-600 per day for a temporary qualified (ACA) Business Analyst working for an investment bank in the City.
£50-60,000 for an Operations Workforce Consultant working for an investment bank in Bromley.
£500-550 per day for a temporary Market Risk Manager - Stress Testing working for an investment bank in the City of London.
Do you work in investment banking? Would you like to contribute to our "Day in the Life of..." series? Email us at info@topfinancialjobs.co.uk for more details.
