Investment banker lifestyle
Investment bankers are highly regarded professionals that handle business decisions and financial transactions. They receive hefty pay(often six-figure)and their lifestyle is often characterized by luxury, opulence, and conspicuous consumption. Apart from the glamorous lifestyle, the investment bankers lifestyle is often characterized by high pressure, careers, and demanding schedules as the industry is extremely competitive and deals with high-risk assets like bonds and stocks. Therefore, they need to remain sharp and keep up with the changing markets. It is very important to know what an investment banker tick if you are planning to work in this industry.
If you have a knack for managing huge sums of money and ensuring they are invested correctly, you could also become an investment banker. In this article, we have tried to explain the upsides and downsides of an investment bankers lifestyle in simple terms.
Investment Bankers Lifestyle – First the DOWNSIDES
Long Working Hours
Investment bankers have a stressful and demanding lifestyle, with long working hours being a defining aspect of their profession. Investment bankers may work up to 80-100 hrs per week which includes holidays and weekends sometimes, depending on the firm and its specific function.
Although Investment bankers may have a reputation for operating long hours, their jobs are not always routine. The demand for the job can fluctuate depending on the need of clients, market conditions, and the precise stage of a deal. Overall, the non-constant nature of investment banking jobs can offer both opportunities and challenges for those in the industry.
New Work assigned at unpredictable times
It is not unusual for investment bankers to get new assignments or urgent requests from clients in the late afternoon or evening. this is due to several factors such as a sudden change in the market condition or new development in a deal that needs immediate attention.
New work assigned at unpredictable times can make it challenging, especially for people who have other responsibilities such as social life and family, to balance both personal and professional life.
Screwed at the bottom of the Food Chain
Investment banking has a hierarchical structure, with junior bankers(like associates and analysts) frequently at the bottom of the food chain. Analysts and Associates are responsible for due diligence, research, and financial modeling. They work under the supervision of senior bankers (managing directors and vice presidents).
The associates work long hours and perform tedious works that may not be exciting as the high-profile deals that MDs and VPs work on. his could also demotivate them if people do not respect and appreciate their efforts.
No Control over social life
Investment bankers frequently have busy schedules that might make it more challenging to have a vibrant social life. It might be difficult to plan social events or attend get-togethers with family, friends, and relatives when working long hours, traveling frequently, and dealing with unpredictable workloads.
Investment Bankers Lifestyle – Now the UPSIDES
Money, Money and Money 🙂
Well, Well! What you would love about being an investment banker is the Money :-). There are very few careers that pay you as well as the Investment Banking does. The salaries and bonuses one could earn are extremely tempting and motivates you to make a career in this industry. A fresh MBA graduate, on average, earns between Rs. 3,00,000 – Rs 6,00,000 per annum. The large salary and incentives could go up to three to five times with the hard work you put in.
The skills that you learn would teach you how to work and survive in this difficult and challenging industry. Learning is intense & analysts will be working with some of the brightest & most demanding people on Wall Street. Working as an investment banker exposes you to top business leaders, providing a unique opportunity to understand how they think, create strategies, and make decisions.
Awesome Exit Opportunities
Apart from all this the exit opportunities that Investment banking offers are great. It could be a great help if you want to look for other finance careers such as private equity, venture capital and hedge funds.
Hope this article would provide with necessary insights of an Investment Banker’s life. You can learn more about this industry in Investment Banking Overview. Also, you may want to look at our professional Investment Banking Training Program.