Can you become an investment banker without a degree?
A bachelor's degree is the minimum
It will be harder to get into the investment banking field, especially at a top bulge-bracket investment bank, but it's not impossible. If you begin working as a postgrad in a field within finance, such as consulting or perhaps even accounting, you may be able to shift into investment banking.
As a non-target, you often have to make your own luck and play a longer, more arduous game in order to break into investment banking. You will likely need to network three or four times as much as your target school peers and your conversion rate on reaching out is going to be much lower.
But breaking into this competitive industry without prior experience can be a daunting process—especially if you don't have an expert to hold your hand along the way. However, if you use the right approach and strategy, starting a career in investment banking with no experience is possible.
Candidates must pass both the Series 79 exam and the SIE exam to obtain the Investment Banking registration.
Yes, GPA matters! Bulge bracket banks and almost all other investment banks will look at your GPA when applying for a job and you should include it in your resume. Typically banks screen resumes based on GPA and will often remove anyone below 3.5.
I estimated $450K – $650K total compensation for the 25th to 75th percentiles above, and I think that is true for most of the bulge brackets. However, plenty of elite boutiques paid well above this, with many reports of $700K+ or even $800K+ in total compensation.
An MBA is the typical terminal degree for an investment banker. Some investment bankers do choose to continue their education in other ways. Many pursue additional continuing education courses and certifications in banking or certifications in finance to remain competitive in the fast-paced industry landscape.
- University of Pennsylvania.
- Georgetown University.
- Harvard University.
- Columbia University.
- New York University.
- Cornell University.
- University of Notre Dame.
- University of Michigan.
These are the 10 hardest investment banks to get a job at in the world🌍👇 1. JP Morgan 2. Goldman Sachs 3. Bank Of America 4.
What is the easiest way to get into investment banking?
- As an Undergraduate, Ideally at a Top University. This is the easiest and cheapest way to get into the industry, but you must decide very early on that you want to pursue IB. ...
- As a Recent Graduate. ...
- At the MBA Level. ...
- Beyond the MBA Level.
It can take 4-6 years to become an investment banker. If you are currently pursuing a relevant undergraduate or graduate degree from a prestigious university you may be able to become an investment banker after graduation by being recruited.
While you can get a job with a bachelor's degree, having an advanced degree is another way to improve your prospects. A Master of Business Administration (MBA) or an advanced degree in math can add to your appeal. A chartered financial analyst (CFA) certification can help, too.
The Series 7 exam is often considered the most difficult securities licensing exam. But, the answer is up to you. If you prepare properly and utilize an online learning tool like ExamFX's Series 7 course, you can approach the test with confidence and earn your Series 7 registration.
You must wait 30 days before you can rewrite the Series 79 exam if you fail. The waiting period is extended to 180 days if you fail three times in a row. Your company must re-sponsor you before you sit down for any retakes. You are also responsible to pay the full fee for any subsequent attempts to write the exam.
Investment bankers work notoriously long hours, with the typical work week filling in 60-80 hours per week, and the occasional high-intensity work week that can push a banker to 100+ hours.
Candidates must demonstrate academic strength – a minimum 3.2 GPA for juniors and a minimum 3.5 GPA for freshmen and sophom*ores, strong teamwork, communication skills and a high energy level.
Goldman Sachs does not give a specific minimum GPA requirement, though some sources suggest a GPA of at least 3.6 is preferred. Additionally, you may need to show relevant coursework and hard skills for certain programs.
For example, if you attended a top 5 university, majored in engineering, and completed 2-3 finance internships, a 3.3 – 3.4 GPA is not the end of the world. But if you went to a non-target school, majored in history, and completed 0 finance internships, then a 3.3 – 3.4 GPA may be the end of the world.
What Are the Big 4 Investment Banks? The big four are JPMorgan, Goldman Sachs, Citigroup, and Morgan Stanley. Some other global giants are treading right on their heels, including Deutsche Bank, Barclays, Credit Suisse, and UBS.
Why are bankers so rich?
As long as investment banks remain gatekeepers to the market for companies (and capital markets), they will be able to extract high fees, and use those high fees to pay high salaries and bonuses.
On average, a first-year investment banker makes a 5-digit salary, in the range of $70,000 – $90,000, while a 7-digit salary is considered above average and is difficult to achieve for most people in their careers.
Becoming an investment banker requires several years of higher education in addition to licensure. It also requires strong mathematical and analytical capabilities, which may be challenging for some people. In addition to a bachelor's degree, investment bankers may need a master's in finance or an M.B.A.
Sure, anybody can make a good living being a doctor or a lawyer or an investment banker where you can make ~$200-500K per year a few years after you finish with your studies, but you hit a ceiling very quickly unless you start your own practice (aka start your own business).
I happen to know some 28+ year old investment bankers that would be very happy making $500k/year. Technical quibble aside: There are many who have set such high expectations for themselves that they are dissatisfied with their pay packages despite being in top 1% income bracket.
