Careers In Investment Banking

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Careers in Investment Banking

A career in the securities industry can offer exciting work if you enjoy

working in a competitive and demanding atmosphere. Investment bankers, stock

brokers, and stock traders all make up the securities industry providing

services to each other, as well as the general public. All of people involved in

this field deal with stocks, bonds, and other financial material in some way or

another, but they all have their own specific objectives and duties. The primary

differences between the three are the services they provide and who they provide

these services to. Investment banking seems to be the most interesting of the

three, as well as the most rewarding. This is due to the nature of the job an

investment banker must perform. A career as an investment banker has its pros

and cons just as any career does, but if you're looking for a high-demanding,

high-risk career that at times is very rewarding financially, investment banking

could be the career.

Investment banking has been around since stocks have been issued and

bonds sold, but the field demanded little, if any new jobs before the 1980's.

This was due to the low complexity of the financial markets. Since then,

investment banking jobs have been significantly growing due to the availability

of complex securities and high-yield bonds, also known as junk

bonds.(Investment Banking,12) Now that the financial market has become more

complex, companies that didn't require and investment bankers now need their

advice to effectively help their company sell stocks and bonds, and to make

financial plans for the future. This shows the growing need for investment

bankers in the securities industry.

Investment bankers serve a major part in shaping our nation's economy as

well as the world's. This is done by devising financial plans and putting them

into effect. The process of doing this is very time consuming but doesn't seem a

bit boring. Investment bankers also spend a lot of time traveling to various

clients to present ideas and when at home, investment bankers work on developing

financial plans and strategies for clients. All this work can appear to be very

time consuming, and it is. According to Linda C. (So You Want To Be, 2) a

typical day for an investment banker out of school is to start a...

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... compensation on performance, employees of that firm work under extreme pressure

to produce successful results. To many, this method of rewarding bankers is a

positive, but others feel it is way too stressful not to be guaranteed a fixed

income. Another drawback to working in the securities industry is a lack of job

security. Poor performance or non-performance, being too conservative, can be a

large factor determining whether a firm should keep its employees or

not.(Investment Banking,3)

When deciding whether a career in this particular field is right for

someone looking into investment banking, one must first consider the advantages

and the disadvantages of this particular career, and then decide whether the job

will suit his or her individual needs. In general, a career in the securities

industry seems extremely hard and very time consuming, and from time to time,

has had me contemplating whether or not to major in finance. The type of work

demanded is very diverse and seems very interesting, with very high compensation

for individual performance. With that in mind, choosing to go into the

securities industry could be very rewarding.

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