Investment banking is one of the most popular courses among students from a commerce background. With the increased number of institutes and free float information on the internet, it gets confusing – which Investment Banking institutes are genuine and worth the investment both in terms of time and money. We bring to you a list of Investment Banking institutes that provide industry-relevant exposure and certification. Most of these institutes offer courses online. Let us take a look at the various aspects of investment banking.
What Is Investment Banking
Investment banking is a special section of the financial institution and corporate banks that help institutes with various services which include but are not limited to Underwriting (involves raising funds for a company) and M&A. i.e. Merger and Acquisition (advising both buyer and seller of businesses from start to finish). Other services include equity research, sales, and trading.
This field of banks mainly helps in the mitigation of funds between investors and suitable corporations. Investment banks offer their services to corporates that need funds, investors, government and private equity firms.
Why Investment Banking
Investment banking is a financial service that is as essential to the economy as the banking sector. Investment bankers help to bridge the gap between potential investors and corporate firms that need funds in such a way that both parties benefit from the deal, thereby ensuring proper utilization of financial resources.
Investment banker guides their clients with the required knowledge about the benefits and the risk involved in the financial decision involved. It also provides its clients an opportunity to weigh all the possible options to address the financial decision at hand, thereby helping clients to reap maximum revenue while adhering to regulatory policies.
Qualifications of an Investment Banker
An investment Banker has the opportunity to perform various tasks for its clients which includes assisting them regarding mergers and acquisitions and introducing them to new financial investment ideas such as derivatives, bonds, etc. Looking at the essence of responsibility, there is a skill set that is required for an individual to be a successful investment Banker. Some of these skills include:
- Educational Background – in-depth knowledge in the field of finance, economics, and business is essential. MBA (Finance), Chartered Accountant, and CFA are requirements generally preferred by organizations that provide entry-level positions.
- Skills – Intermediate level of Excel, Strong aptitude for numbers, communication skills, logical approach
- Relevant experience – As an individual gains experience in the field the compensation increases exponentially
- Comfort with number crunching
- Knowledge of financial modeling
- Hands-on convincing skills
- Networking Skills
- Research skills, quantitative and analytical skills.
However, these skills can be gained by taking a course at various Investment Banking Institutes, provided one is eager to learn and willing to dedicate a significant amount of overtime hours.
Career as an Investment Banker
Many find the job of an investment banker to be tedious and challenging. The life of an investment Banker, usually, are busy all day with meetings, projects, and presentations. However, the job comes with its own list of benefits.
It is often seen as one of the best career choices for a finance professional. Some of the benefits of being an investment banker include an Excellent salary package, Benefit packages offered, the opportunity to interact with focused and brilliant investors in the field, and effective networking.
Job Roles In Investment Banking
Investment banking is a profession that engages in different aspects of investment and financial decisions. There various job roles in Investment banking in the increasing order of seniority are Analyst, Associate, VP, Director, and Managing Director. The various tasks of an investment banker are:
- Development of various types of financial models to study debt-equity ratios needed for Mergers and Acquisitions and other capital-raising transactions
- Evaluating the financial statement using various valuation models like Dividend Discount Model, Discounted Cashflow Model, comparable method
- Perform research, analysis, and due diligence on the subject of investment
- Developing relationships with prospective and existing clients in order to expand the business
- Creating presentations for client portfolios
- Updating and guiding clients with the latest updates of current events and other relevant information.
Salary Structure and Scope of Investment Banker
Investment banking is the most prestigious profession in the finance field. The profession is known for its high salary packages and benefit. However, there are a number of factors considered while deciding the compensation package of an Investment Banker. i.e., knowledge, master’s degree in finance or economics, relevant experience, location of the job, and company profile. The starting salary of an investment banker in India is INR 2.5 LPA to INR 5 LPA.
With the introduction of globalization, there has been a substantial increase in demand for investment bankers. Hence, the salary hike in the field is significant. The average salary package of an investment banker with an experience of 5-9 years is 9.6 LPA.
Some of the main players are UBS Bank, J.P. Morgan, Barclays, and Morgan Stanley, offering salary packages ranging from INR 13.20 LPA to INR 21.63 LPA. Although anyone with a financial background can enter the investment banking field, having a certification from well-known investment banking institutes gives the candidate an upper hand to beat the cutthroat competition in the market.
A commerce fresher can enter as an intern in an investment banking firm with a starting salary of 4 LPA. However, if one takes a certified professional course from investment banking institutes the candidate can enter as an analyst directly with a package of 5-7 LPA.
List Of Investment Banking Institutes
Course Name: Complete Investment Banking Course 2023
Course duration: 33 hours 21 minutes
Number of lectures: 244 Lectures
Course fee: INR 3,199/-
Website: www.udemy .com
Eligibility: Students pursuing CFA, MBA (Finance), CA. finance professionals
Udemy provides a variety of courses in different fields and this course in investment banking is one such course. Although the academy is not investment banking institutes, the course is quite detailed and is divided into eight sections namely:
- Investment Banking Fundamentals
- DCF method of Valuation
- Relative valuation
- DCF Model using Ms excel
- Comparable company analysis
- Financial modeling of Siemens AG
- Pitchbook Preparations
- Create Strip profiles for Pitchbook
This course covers the above-mentioned topics extensively. It also teaches report-writing techniques. The main focus of the course is to grant access to practical knowledge via case studies and hands-on practice which remain missing in college and university courses. This is an online certification course that offers lifetime access to video classes.
2. CFI – Corporate Finance Institute
Course Name: FMVA (Financial Modelling and Valuation Analyst)
Number of lectures: 2810+ Lectures
Course Fee: $497 (Self Study) / $847 (full immersion)
Course Mode: Online
Established in 2016, CFI is globally known for its courses in the banking and finance industry. It is known to be one of the leading Investment Banking institutes in the world. It offers a variety of investment banking-related courses from entry-level to advanced level. These certified courses have been created by market leaders who have taught in various institutes and organizations.
The FMVA course is a certificate course that helps a professional upscale his/her skill in financial analysis, budgeting and forecasting, and financial modeling. It is a five-step course with electives to choose from. The course is followed by a final exam which has a minimum passing grade of 70%.
The FMVA course is available in two options – Self Study and Full immersion Costing $497/year and $847/ year respectively. While course details remain the same, the full immersion provides access to Financial Tools such as Macabacus Productivity, Capital IQ, Pitchbook Access, Vertical Access, etc.
Course(s) Name: Investment Banking: Financial Analysis and Valuation; Advanced Valuation and Strategy – Mergers and Acquisition, Private Equity, and Venture Capital
Course Fee: Free
Course Mode: Online
Coursera is known as one of the Investment Banking institutes that provides a range of certification courses in the Investment banking sector customized to the requirement of the individual. The two most popular courses available are Investment Banking: Financial Analysis and Valuation & Advanced Valuation and Strategy – M&A, Private Equity, and Venture Capital.
Investment Banking: Financial Analysis and Valuation is an intermediate-level course focused on investment banking, valuation, and other corporate finance. It is a 13-hour course that is in two parts, the first works on the fundamentals of financial statement analysis and ratio analysis, and the second works around company valuation and forecasting using various techniques.
Advanced Valuation and Strategy – M&A, Private Equity, and Venture Capital is an advanced course by Erasmus University Rotterdam. It is a 16-hour online course with flexible deadlines. It covers all the valuation and forecasting techniques. It also covers Mergers and Acquisitions (M&A), Private Equity, and venture capital in detail.
Course Name: Certified Investment Banking Operations Professional
Course Duration: 150 Hours
Course Mode: Classroom and live online classes
Course Fee: INR 1,40,000/-
This certification course offered by one of the most well-known Investment Banking institutes in the country covers the fundamentals of the financial market, trade life cycle, risk management, and regulation. The program comes with a job guarantee. The course can be found to be beneficial for all aspirants with 0-3 years of experience. The Institute claims to have a placement record of 80%. The various modules under the course are:
- Introduction to Financial Markets – This section acquaints the students with the fundamentals and terms of investment Banking, Fixed income instruments, Equities, Derivative markets, etc.
- Trade Life Cycle – This is more focused on providing in-depth knowledge in asset management, corporate rules and actions, collateral management, and Trade Life cycle.
- Risk Management – This section helps students to understand the basic structure and application of the regulatory framework around the financial market. It also explains the various aspect of risk types and risk management.
5. The Wallstreet School
Course Name: Financial Modelling and Valuation
Course Duration: 6 Weeks / 180+ Hours
Course Fees: INR 45,000+GST
This one of the Investment Banking Institutes was established in 2009 and since then it has trained more than 10,000 candidates. This course offers a comprehensive understanding of different investment banking concepts and details such as modeling, types of models, comparable company analysis, etc.
Apart from the Financial modeling course, it offers CFA coaching, CMA coaching, CPA, and CMA Prep Courses. However, it is most recognized for its course in financial modeling and valuation. Unlike other institutes, The Wallstreet School has an eligibility interview which is chargeable at INR 1000, which is refunded in case a candidate does not clear the interview.
They also offer placement assistance which begins in the fifth week of the course. The course can be taken in both offline and online mode. They have their centers located in Delhi, Gurugram, and Mumbai.
6. Data Trained
Course Name: PG Program In Investment Banking And Financial Modeling
Course Duration: 6 months
Course Format: Online
Course Fees: INR 90,000+ GST
DataTrained provides a detailed course in the field of investment banking. DataTrained, in collaboration with GoDaddy Academy, has created this certification course which enables its candidates to get a comprehensive study of the latest tools and techniques used in the market. The course is available in weekday and weekend batches.
It starts its curriculum from scratch. i.e. basic details of finance, financial statements, and Micro and Macro Economics are revised. After this, the course covers Mergers and acquisitions, Financial modeling and forecasting, and DCF valuations.
The various concepts are introduced with the help of case studies which enable the candidate to get a taste of market trends. The institute also provides a Job guarantee. It has a tie-up with 400+ companies which include RBS, Yes Bank, KPMG, etc.
7. Equalifi (erstwhile AIWMI)
Course Name: Certificate In Investment Banking
Course Duration: Flexible
Course Format: Online
Course Fee: Member Mode – INR 11,800; Exam Mode – INR 3,540
Equalifi is a membership network of financial services organizations, leaders, and professionals. It is a platform that provides networking opportunities. It also provides educational courses to help finance practitioners to upgrade their skills from time to time.
One such course provided by this institution is “Certificate In Investment Banking”, which is designed to help professionals to gain expertise in the field of Investment Banking. The course is focused on investment Banking Basics, Finance Statement analysis, DCF Valuation, Mergers and Acquisitions, etc.
The unique feature of this course is that it is an external, remote-based course wherein students can appear for the exam anytime any day within one year of the registration. There are two ways to register for this program – Exam Mode and Member Mode. As the name suggests, under member mode the candidate needs to sign up as an Equalifi member.
The candidate gets access to training videos (both live and recorded), study notes, mock tests, etc. Candidates can go through the material at their own pace and take the exam within a year of registration. However, under the exam mode, the candidates only register for the exam. The candidate gets a link to take the test within five days of registration (the link is valid for one year)
8. NSE India
Course Name: Post Graduate Program In Investment Banking And Research
Course Duration: 670 Hours / 10 Months
Course Format: Hybrid
Course Fee: INR 99,000 + GSTLPA
NSE India is one of the leading academies in the field of Finance and Economics. It offers a variety of short-term and long-term courses for finance professionals. The Post Graduate Program In Investment Banking And Research is in collaboration with IMS Pre-school.
This course is armed with the latest tools and techniques of investment banking and research aspects of the banking and finance industry. The course can be pursued via three options – Full-time Classroom, Weekend Program, and Live Virtual Classroom. The course is certified and also offers total placement support.
Course Name: Advanced Certification Program in Investment Banking Operations
Course Duration: 326 Hours
Course Format: Online
Course Fee: INR 69,000/-
EduBridge is an institute established by the IIM Alumni and professors in October 2009, with an objective to provide practical knowledge that remains missing among students in contemporary school and university systems.
The course covers a variety of topics like – Value Investing, Financial Markets, Mergers and Acquisitions (M&A), Financial Advisors, Initial Public Offer (IPO), Equity, Derivatives and Capital Markets, Debt Advisory and Restructuring, Leveraged Buyouts (LBO).
It offers the latest case studies that help candidates get a hang of the real-life scenario in the financial market. The assignments encourage the use of the latest tools which enhances the practical knowledge. The Institute claims to have trained 150,000 and placed around 100,000 candidates in more than 300 companies. The average salary package after the completion of the course is up to 8 LPA.
Frequently Asked Questions: Investment Banking Institutes
Q1. I am an MBA (Finance) with an experience of 5 years as a financial analyst. How will an investment banking course help me in the long run?
Ans. Having a financial educational background is a requirement to be eligible for the course. However, in order to succeed in the finance industry, it is necessary to remain updated on the practical changes that occur on a regular basis. The course offered by investment banking institutes helps bridge the gap between the practical skills needed and the theoretical knowledge generally provided in MBA Courses. Having a specialized course in investment banking gives an edge over the cutthroat competition.
Q2. With the advancement of Artificial Intelligence, is it worth investing in investment banking institutes?
Ans. The introduction of Artificial Intelligence (AI) has brought many changes in the employment market. AI, in the industry of investment banking, has enhanced performance and accuracy levels. However, The job of an investment banker is not just limited to calculation and analysis but involves complex ethically correct decision-making, communication, and convincing skills that need a human touch. One can say that AI is an advanced tool that helps investment bankers to make accurate decisions.
Q3. Is investment Banking hard?
Ans. Investment banking is known for its high compensation package and career growth over time. But one must not get lured by these monetary benefits. The demand for investment bankers is high, thus involving a demanding nature and stressful lifestyle. One needs to commit more than office hours on a daily basis to excel in the skills as well as to ensure career growth. On average, an investment banker needs to fill in 60-80 hours a week. On a busy week, this might extend up to 100 hours. Hence, it is of utmost importance that one chooses this field due to general interest in the business area and not just money.
Q4. How do I choose a suitable course in investment banking?
Ans. Due to the increasing demand for investment bankers in the market, there has been a surge in investment banking institutes. The courses, generally revolve around the same topics. One must check the credibility of the certificate issued by the institute. Other factors to consider are the faculty, tools, and techniques used, placement records, and the cost of the course. One other factor that may be essential is the mode of education, weekend batch or online batch is more suitable for working professionals.