Several investment firms are on a look-out for professionals who have certain skills and characteristics. The investment banking industry offers rewarding, exciting, and lucrative career for the individuals. There are several roles in investment firms.
One of the most popular, high pressured, demanding and nerve-wracking job roles is the investment banking professional. This job role facilitates transactions between two firms (like mergers or acquisitions) or between the firm and the market or within a firm (helping to establish business plans).
In this article, let’s have a look at the top skills that are essential to master to be the part of the future of investment banking.
Whether an individual is working in a front office or back office role, to excel in the investment banking they have got to have the gift of the gab! The great challenge of working in the world of banking is that one often encounters with explaining complex financial information to groups that might not share the same excitement or understanding of futures, IPOs or the intricate details of the stock market.
The tough reality is that even if one can perfectly calculate a case study while interviewing for a role, but can’t talk about it or explain it clearly, they probably won’t be considered a best fit for investment banking industry. Strong, professional communication that can be adapted to be most relevant for certain audiences is an important skill, and one that can help set to apart from the other professionals.
Interestingly, with all the rigor and structure in investment banking, the ability to be creative and innovation is an extremely regarded skill. The top-performing bankers are able to approach a task or provide a solution in a way that may be new, pioneering an avenue for products and services.
There is an intangible characteristic that compels investment banking professional to tackle a situation from other angle, and while this may be reinforced by academics, it is often instinctive. University classes, such as entrepreneurial business classes, as well as some science and social science classes, can offer a foundation for more innovative thinking.
There is no doubt that investment banking industry can be a high pressure environment, with long hours, tight deadlines and high stakes. Having strong personal resilience, the ability to bounce back when things get extreme, is key factor to succeed.
This final skill is perhaps the most intangible but considered to be one of utmost essential skill, particularly as investment banking professional climb the career ladder. Social and relationship building skills, such as being able to deal with difficult people in extreme situations, having high energy and a positive attitude. At the end of the day, investment banks generate money based on the amount of fees they get paid by clients. So a strong set of interpersonal skills goes a long way in acquiring and keeping clients.
Accounting skills are required when the investment banking professional are interpreting financial statements. It will also prove useful if one will be creating adjustments on the FSs, in preparation for your financial models.
The future of investment banking is in the hands of the professionals who are quick in interpreting the whole set of financial statements. They must be familiar to use internet actively to research effectively.
The investment banking professional must be able to influence others to follow their idea. This is particularly the case if they think the solution is the best one. Furthermore, if one gets promoted to a higher position, they need to have influence over other subordinates.
The investment banking industry also requires influencing skills when making recommendations to clients or investors. One must be ready to take up the leadership roles.