What are the Features & Benefits of Security Lending & Borrowing?

Posted on September 3, 2021March 22, 2024 by Imarticus Learning

Securities Lending and Borrowing is a system that allows investors to borrow and lend shares to other market players. For many reasons, the platform is a potential alternative to the derivatives market. Short-sellers are the most common SLB borrowers. On the other hand, Lenders are investors who purchased shares for the long term and have them sitting dormant in their demat accounts.

In most jurisdictions, securities lending and borrowing is an OTC (over-the-counter) commodity where custodians allow borrowing and lending transactions between institutions. SLB, on the other hand, is an exchange-traded product in India.

SLB Features

Clearing Corporations guarantee transactions in the SLB section and hence do not include any counter-party risk.
Contracts with durations ranging from one month to twelve months are available.
Turnover fees from the STT and SEBI are not applicable.
The market value of the equities determines the loan amount pledged as security.
This SLB allows retail and institutional investors to lend and borrow assets.
The securities can be lent by investors who have Ideal Shares in their demat account.
This approach allows investors or traders who have short-sold stocks to borrow the securities.
National Securities Clearing Corporation Limited ensures that stocks are delivered after the rental period has ended. As a result, there is no chance of the stock being lost.
When the borrower returns the stock, any dividends, stock splits, or bonus shares are paid to the lender of the securities.

Benefits

Both the lender and the borrower benefit from SLB.

For Lender

SLB delivers an extra return on an idle portfolio for Lenders. So, if you have 1000 shares of xyz that you intend to own for a long time, you can lend them out anytime there is a demand. Where NSCCL is the guarantor, the lender receives loan fees.

The potential to make additional money through the fee charged to the borrower to borrow the security is one of the benefits of securities lending from the lender’s perspective. It could also be considered as a way to broaden one’s horizons.

For Borrower

From the borrower’s perspective, it permits them to engage in activities such as short selling. It also provides investors with more perspectives on the market. As previously said, it aids in the increase of liquidity in the market as a whole. As the difference between the bid and the ask narrows, increased market liquidity tends to tighten spreads, which is favorable to all market players.

A borrower is most likely interested in one of the following opportunities: stock price between two exchanges, reverse arbitrage when futures are at a discount to stock, covering short positions to avoid settlement failure, mispricing in options, and other hedging strategies, SLB could be used to borrow stocks from a lender for a fee.

Become an Investment Advisor

Investment advisors provide advice on a wide range of trade finance topics, including retirement planning, insurance alternatives, and investment techniques. To work as an investment advisor in India, you’ll need a degree in finance or banking as well as a SEBI certificate of registration.

MBA program by Imarticus

A diploma in banking and finance is Designed Specifically for Future Investors. Your ultimate doorway to New Age Investment Banking and Finance.

Imarticus collaborated with the acclaimed JAIN Online to improve its rigorous diploma in banking and finance, covering every paradigm of New Age Banking Operations

The program is designed to give you in-depth exposure to essential parts of the trade finance Investment Banking sector,

Such as Master Accounting, Financial Analysis, Principles of Economics and Markets, Investment Banking Operations, and more.

Fascinating Insights into the Investment Banking Industry!

Posted on August 30, 2021April 5, 2024 by Imarticus Learning

The world of investment banking has undergone a huge transformation in the last decade. Gone are the days when investment bankers were professionals who worked for one or two banks and made multi-million dollar deals. In today’s time, this is a highly competitive industry with many more people vying for lucrative positions. In fact, there was an increase in demand by 66% in the last decade, as Bloomberg reported.

The boom in this sector has resulted from increased demand for investment bankers, and it’s not slowing down anytime soon. This article will discuss some of the fascinating insights Into how investment banking works, what an investment banker does, and how to start a successful career as an investment banker.

How does investment banking work?

Investment banking is a lucrative profession as it involves various stages of the financial sector. An investment banker offers its services to organizations and individuals in need of funds for their business, such as startup companies or international conglomerates with projects that require large sums of money.

Investment bankers are often involved in raising capital either through an IPO (initial public offering) or via private placements along with many other activities like mergers and acquisitions. They also provide advice on corporate strategy, securities offerings, etc., based on their current knowledge about domestic markets.

Key insights into the boom in the investment banking industry

– The investment banking industry is experiencing a boom as the demand for bankers has increased. As of now, there are more than 250 new jobs available in this sector, and banks like Goldman Sachs have advertised 130 positions ranging from analysts to associate-level managers. Investment Bankers earn average salaries that range from $69k-$200k depending on their rank

– A graduate degree can help you stand out when applying for these jobs—students who hold master’s degrees or higher make up almost 40% of all newly hired investment bankers each year. Graduates with MBA degrees get paid an average salary of over $100K per annum. Graduates who have a bachelor’s degree earn about $70K per annum.

– The demand for investment bankers has risen because of the changing market dynamics and global climate that is forcing more investors to hedge against riskier assets like stocks or commodities. This increase in investments requires banks to expand their operations. Hence there are increasing numbers of new jobs being created all over the world

What does an investment banker do?

Investment bankers are financial professionals who work to provide advice on raising capital for businesses. They are typically employed by large banks or other companies, although they may be self-employed if working in the private sector.

There are various types of jobs within the industry – an analyst will research potential markets before making recommendations, a trader will attempt to buy and sell stocks at the most profitable rates, while investment bankers often work with clients on mergers and acquisitions before concluding transactions.

Investment banking courses provide students with an in-depth understanding of these specific roles to select one that best suits their skill set.

Have a lucrative investment banking career with Imarticus Learning

Imarticus Learning Institute offers a variety of certification courses to help you succeed in your investment banking career. These Investment Banking Courses are designed for beginners, intermediates, and seasoned professionals who want to learn the latest industry trends or brush up on their skills. The courses are taught by expert instructors with decades of experience in the industry.

Fast-track your career into the investment banking industry through Imarticus Learning’s expert network & become an investment banking expert!

For more insight, get in touch with us through the Live Chat Support system or visit our training centers based in – Mumbai, Thane, Pune, Chennai, Bengaluru, Hyderabad, Delhi, Gurgaon, and Ahmedabad.

What is Equity in Investment Banking?

Posted on August 23, 2021March 22, 2024 by Imarticus Learning

A career in finance may take many paths, including investment banking and equity research. But, you need to choose the best banking courses after graduation that can prepare you for various branches of business and finance. If you want to know about equity in investment banking, then you must first understand how investment banking works and why equity is important. So, let us begin by learning what is investment banking in simple terms.

What is Investment Banking?

Investment banking is a division of any bank or financial institution that serves any organization, corporation, or even the government. Investment banking provides these institutions or corporations with underwriting for raising capital or mergers and acquisitions, as well as other advisory services. The job of investment banks is to act as an intermediary between the investors and the corporations that are in need of capital to grow their business.

To understand investment banking better, you can choose any of the multiple investment banking courses in India available online. These investment banking courses will help you understand the technicalities of investment banking better.

You can check out the certificate in Investment banking course details to see if it is one of the best banking courses after graduation you can go for.

When paying the investment banking course fees, one should look for a program that gives an in-depth knowledge of the topic at hand so that the investment is not regretted later. Out of the many investment banking courses in India, only a few cover equity in investment banking. You can check out one such certificate in investment banking course details here.

What is Equity in Investment Banking?

In finance and banking, equity is more commonly referred to as the shareholders’ equity. For privately held companies, it may also be called owner’s equity. Equity is the value that is attributable to the owners of the business. It is the value or amount of money that the shareholders of the company would be returned in case the assets of the company are liquidated and all of the debt of the company is paid off in liquidation.

In the case of acquisition, equity is the total value of the company’s sales minus any of the liabilities which is not transferred during the sale. Shareholder equity represents the book value of the company. It is one of the most important pieces of data used by analysts to assess the financial health of the company.

There are two types of equity values:

Book value – It is calculated by taking out the difference between assets and liabilities on the balance sheet of the company.

Market value – It is determined by the current share price or estimated value of shares calculated by professionals.

When choosing what course to do for investment banking, one should zero in on a program that also teaches about shareholders’ equity in investment banking. This will not only give you a deep understanding of how investment banking works but also how equity operates along with investment banking and the difference between the two.

You should choose the program of the many investment banking courses that prepares you for the journey ahead in this industry and makes your Investment Banking career trajectory go higher.

Related article:

How To Become Equity Research Analyst

Technology Investment Banking: Take Over the World with Zero Earnings and Negative Cash Flows

Posted on August 21, 2021April 5, 2024 by Imarticus Learning

When it comes to technology, investing in companies that are not making a profit might seem unreasonable. However, let’s assume the case of Amazon or Tesla where both these companies had negative earnings during certain quarters which scared investors immensely. In the long run, these two are highly profitable companies, but even then, they still sometimes manage to astonish their investors with poor earnings in a few unfortunate quarters.

There are many emerging technologies that have been and can be invested upon during their negative phases where they end up losing more value (or money) as compared to their earnings. Good investors take these risks with technology and software companies when they see a certain amount of hope or trust that these companies will certainly become profitable in some time.

Massive investment banking firms such as Ernst & Young, Morgan Stanley, Goldman Sachs, and others have dedicated technology divisions, focused only upon investing in technology that will be important in the future or companies that have been estimated to become household names.

A Certified Investment Banking Operations Professional (CIBOP) course can definitely assist in transitioning to investment banking jobs.

What are Negative Cash Flows

Negative Cash Flows occur when companies spend more money than they generate within a stipulated duration. However, Negative Cash Flows do not necessarily mean the company is running at a loss, it is simply a status that equates to imbalances in the revenue stream.

Though it means that the total expenditure outweighs the net income for the specific period, companies can still make a net profit in the long run. In areas such as technology, the initial phase is spent on research and development, thus, actual profit cannot be seen till products or the software is deployed and available to the public. So, investors and firms can still make a profit by looking at the gross margin.

Products should sell for more than their production cost in order to make a profit. However, in the case of Tesla, during the first quarter of 2021, the company lost $970 for every Testa automobile sold (which they covered up with credits and bitcoin sales). Without their credits and BTC sales, they would actually end up losing $181 million.

Amazon, one of the biggest names now, took 14 years to cumulatively turn up the net profit that it earned in just the 4th quarter of 2017. In fact, until the early 2000s, Amazon incurred negative returns during every quarter.

Why are Zero Earnings Beneficial for Investors?

Many technological companies suffer from negative earnings quarter after quarter, however, some always end up achieving blue-chip status or acquiring massive value. This is especially true for biotechnology, IT, semiconductors, hardware, and aeronautical innovations. Investing in early-stage firms from these industries that are currently suffering due to difficulties can promise massive rewards that far outweigh the associated risks.

The possibility of invested companies discovering extremely important technology that assists medical science or AI systems that are capable of running entire cities is far too alluring to miss out on. Zero earnings or negative earnings can be a short-term situation and smart investors rely on the gross margin for longer durations.

It is a high-risk investment, however, large investment banks and investors are generally willing to be patient with temporary problems for an earnings recovery in the future. When wondering about what are the career options after graduation, one can definitely look into investment banking.

Conclusion

A certificate in investment course details shows the way to become a budding investment banker for helping investment firms. Valuation methods such as Discounted Cash Flow and Relative valuation take a company’s temporary problems and the future profit into account to determine if it is worth taking the risk.

So, what are the career options after graduation? Candidates are first recommended to definitely enroll for a Certificate in investment course, details are available here.

How Do I Get Into Investment Banking

Career As An Investment Banker

How Much Do Investment Bankers Earn in India?

Posted on August 20, 2021May 14, 2024 by Imarticus Learning

Do you know the average salary of an Investment Banker in India is from 12 lakhs to 13 lakhs, according to Glassdoor? The investment banking sector is growing at a 1.2% CAGR for 2018 to 2023. It is expected to reach a value of $78,008.7 million by 2023.

According to the Bureau of Labor Statistics, the demand for financial services sales reps is estimated to rise by 4% by 2029. This data is combined with attractive salary packages and a secure career. This positions investment banking as one of the most profitable and in-demand career choices.

In this article, we have revealed the salary of an Investment Banker in India. We have also covered the factors that influence it and the Investment banker’s salary in the US.

What does an investment banker do?

Investment bankers act as a bridge or intermediary between investors looking for investment opportunities and organisations looking for funding. The duties of investment bankers are divided into two categories: assessing a company’s financial situation and assisting it in meeting its financial goals. Investment bankers are responsible for analysing a company’s financial situation and capital requirements to offer a viable plan for meeting its financial goals.

Investment banker’s salary in India

The pay ranges from 3 lakhs to 1 crore depending on the skills, roles, designation, experience, job location, company, etc. But, the starting salary of an investment banker is better than many other professions, with initial pay of Rs.7-8 LPA. That’s why experienced investment bankers or Investment Banking Analysts can rise to higher positions fast. This is because their salaries rise quicker, and they earn higher paychecks.

Designation-wise salaries of an investment banker in India

Salary of an Investment Banking Analyst

This is the role assigned to people who’ve just graduated from business schools. Their tasks mainly include research and analysis of investment banking methods. A fresher with this designation would earn around Rs. 5 LPA on average. Also, an experienced candidate can earn Rs.6-7 lakhs.

Package of an Investment Banking Associate

This role is an upgrade from the role of a Banking Analyst. The duties involve the analysis of business strategies. They act as an intermediate between junior analysts and senior officials. The average salary for this role lies between Rs. 7 lakhs to Rs.10 lakhs.

Pay of a Business Analyst

This role is similar to the role of an Investment Banking Analyst. However, the difference here is that the focus shifts to business strategies such as profit optimisation and asset management. For this profile, a candidate would earn between Rs.6 lakhs and Rs.7 lakhs.

Remuneration of a Financial Manager

Being a high-profile role, financial managers mainly oversee a company’s financial health. They audit financial reports, analyse investment activities, and work out long-term financial goals for the company. Also, they use tools to analyse the data. A financial manager in India would earn around Rs. 10 lakhs on average.

Compensation of a Financial Director

The role of the Financial Director is a senior one, as they are leaders of senior executive teams. And their primary responsibility is to frame financial policies. They also make the proper process to meet a company’s business requirements. In addition, they oversee operational and strategic ongoing at the company. So, a Finance Director can have a starting salary of around Rs. 20 lakhs. With an experience of 4-5 years, one can earn anywhere between Rs.45 lakhs and Rs. 50lakhs.

Factors affecting Investment banker salary in India

In India, the average investment banker’s salary is significantly higher. But, to determine the exact pay, you must understand the factors that influence the salary of an investment banker.

The below-mentioned factors affect the salary of an investment banker.

Skills

An investment banker’s most essential skills are financial analysis and modelling expertise. Along with this, the knowledge of mergers and acquisitions plays a critical role too. The ability to work independently is also an essential skill to succeed in the investment banking field.

An understanding of deal structuring and closing principles is essential. Having excellent communication and networking abilities play a vital role. In addition, the ability to conduct research, be quantitative and analytical and explain market events.

Location

Few cities have a higher demand for investment bankers, causing average pay to vary significantly. But, depending on the cost of living, some cities pay comparatively less. Surprisingly, Mumbai (84% higher than average), Pune, and New Delhi pay 4% higher than average. So, these cities are the best locations to work as investment bankers. But, some places offer lower salaries to investment bankers, like Bangalore, Hyderabad, and Chennai.

Work Experience

More experience results in more gain in the field of investment banking. The average salary of one to four years of an experienced investment banker is Rs. 9 lakhs annually. However, bankers with five to nine years of experience earn around Rs. 20 lakh per annum. With an experience of around ten years, professionals can earn approximately Rs 30 lakh per year.

Companies

Some banks and companies are paymasters, while others pay less. So, investment bankers prefer firms such as Morgan Stanley and Goldman Sachs. Other liked banks are Barclays and J.P. Morgan. Investment bankers are generally paid well by most firms. However, you should not focus only on the package. The profile and work are deciding factors in rejecting or selecting a company.

Investment banker salary in the US

The United States pays well to investment bankers. It consistently ranks first in terms of compensation for its investment professionals. Furthermore, cities such as New York reward their professionals besides the salary. It offers valuable and lucrative benefits.

How to start your journey as an Investment Banker?

Before entering any sector, gathering knowledge about the industry, scope, career growth, and job opportunities are always good multitool. The second step is to equip yourself with the knowledge and skill set to become an investment banker. For this, you should get enroled in an institute and learn investment banking concepts.

An institute that offers excellent knowledge, expert faculty and an industry-oriented curriculum will be lucrative. But, if they provide career assistance and interview preparation, that will be the cherry on the cake So, try to find an institute that offers all these and then invest your money.

Apart from this, having a good network also plays a significant role in getting you to start your career as an Investment Banker. For that, you can do an internship with top companies and work hard. Moreover, during the internship, you can learn industry concepts and how to behave professionally.

Conclusion

In conclusion, careers in investment banking training usually offer good salaries. However, they are exclusively bagged by candidates with the best academic backgrounds.

Hence, candidates must work hard. They should try to graduate from a top educational institute. Also, they must know how to reap the benefits of their effort. And, plan a financial career properly to take up the role of an analyst.

Understand the Capital Market in India and its Latest Trends!

Posted on July 23, 2021May 29, 2025 by Imarticus Learning

India is one of the fastest-growing economies. With the Indian capital market being one of the largest in the world, it has led to an Investment banking career becoming one of the most lucrative and competitive professions in India today. Investment bankers are highly sought after for their skills and expertise in assessing investment opportunities and managing investment portfolios.

The role requires an in-depth understanding of the capital markets and how they relate to corporate activities. With this knowledge, investment bankers can help companies raise money on public stock exchanges or sell stocks to investors by buying them back at a higher price later on.

In addition, investment bankers may also advise clients about mergers and acquisitions that could benefit their company’s bottom line.

In this post, we’ll see what the capital market & its latest trends is and how you can start a career as an investment banker.

What is Capital Market?

The Indian capital market is the investment and financing hub for corporate entities, investors, and governments. It includes equity markets, debt markets, money markets, derivative products such as futures contracts on shares of stock (equity), bonds (debt) & currency pairs like Rupee vs. US Dollar, etc.

Latest Trends in Capital Market – What are investment bankers looking for?

The investment banking sector is undergoing a paradigm shift in companies’ investment strategies that are opting to stay private longer and new regulations and transparency imposed by regulators.

– Investment bankers may need different skills than they did before. For example, an investment banker who has been trained on debt financing will be required more now for equity investments because there is a lack of IPO opportunities from emerging markets firms since 2009. Increasingly, investment banks will offer advisory services to help clients raise funds through bonds or stocks offerings rather than traditional advice about which project should get financed with borrowed money.

– Investment banks rarely work alone anymore. They have to form alliances with other investment firms, private equity investors, hedge funds, or sovereign wealth fund managers to provide the different services necessary to handle a complex portfolio of deals. This is especially true for M&A activity where clients want not just advice on the investment but also the help of investment bankers to actually execute the transaction.

– Investment Banking requires a lot more than just finance skills to get ahead. You need strong analytical abilities, too, so that you can provide clients with insights into their industry or sector, which might be different from what they’re used to hearing.

– Investment bankers are looking for candidates who can bring a lot more to the table than just investment banking skills. That’s why Investment banker courses focus not only on technical knowledge but also behavioral and soft skills such as communication, interpersonal relationships, presentation skills, and leadership abilities.

Start a Rewarding Investment Banker Career with Imarticus Learning

Imarticus Learning offers investment banking courses that will provide you the right expertise, knowledge, and skills to start a rewarding investment banker career. Investment banks are always looking for professionals who have an in-depth understanding of the global capital markets.

Therefore, if you want to be an investment banker, then this course is best suited for your need as the investment banker course by Imarticus Learning is designed to provide a thorough understanding of investment banking careers and how one can start their own highly rewarding investment banker career with this coveted degree qualification.

For more details on Investment banking career/courses, contact us through the Live Chat Support system or visit any of our training centers based in – Chennai, Mumbai, Thane, Pune, bangalore, Hyderabad, Delhi and Gurgaon.

Related Articles:

What is The Structure Of The Indian Capital Market
Corona Virus And Impact On Capital Markets
How Can You Get Into Captial Market After Having a Few Years Of Banking Experience

How an MBA in Banking and Finance can be helpful in the BFSI Sector?

Posted on July 22, 2021September 9, 2021 by Imarticus Learning

The banking and finance sector, also known as the BFSI sector, is one of the largest industries in India. The assets of Indian public sector banks alone are worth $1.5 trillion in FY20.

Moreover, this industry is growing at a rapid pace. The more it will grow, the more career opportunities you will have. In this article, we will cover how completing a financial business management course can help you in building a career in this field.

How an MBA in Banking helps you in the BFSI Sector

Makes you stand out

Having an MBA in banking will benefit you greatly in standing out. Recruiters in the BFSI sector look for skilled candidates that can showcase expertise in the industry’s different subjects. Another criterion is candidates with a strong work ethic and commitment towards their profession. Having an MBA will help you showcase all of these qualities and more. It will also make you eligible for many leadership roles in the industry which you couldn’t apply for without an MBA.

You will easily stand out from candidates that don’t have an MBA or those who have an MBA specialization in another subject. Hence, you will be at a great advantage with this qualification.

Easier project management

An MBA program will teach you about the fundamental and advanced concepts of business. Its specialization in banking will help you learn about the essential subjects of the banking and finance sector, including financial accounting, analytics, fintech, and others. Possessing these skills will make it much easier for you to handle projects and measure their growth. Project management is a highly in-demand skill, and an MBA in banking will allow you to specialize in the same.

Develops leadership skills

A big reason why employers prefer candidates with an MBA to fill senior roles in their organization is that they have better leadership skills. Developing soft skills is a prominent section of an MBA program. Moreover, senior roles require professionals to have a strong grasp of different leadership skills. Some vital leadership qualities you develop during an MBA program are:

Problem-solving
Critical thinking
Communication
Teamwork

Not only will these skills make your job significantly easier but they will also allow you to grow your organization better and hence, advance your career more easily. Strong leadership qualities will help you direct your organization’s resources more effectively and pave the way for a brighter career, particularly in the lucrative BFSI sector.

Get an MBA certificate online

Completing a financial business management course can aid you significantly in accelerating your career in the BFSI sector. It helps you develop vital soft skills and become an industry leader.

In the current day and age, when there is a contagious virus spreading everywhere, the safest way to learn crucial skills like financial accounting and business management is by getting an MBA certificate online. An online course will allow you to learn from the safety of your home without going anywhere. You will be able to study safely and according to your schedule. It would also help you learn without interrupting your professional life, unlike a conventional MBA program.

Conclusion

There are many advantages to getting an MBA in finance and banking, especially when you want to pursue a career in the BFSI industry. It helps you get high-paying jobs, accelerate your career growth and become a sought-after professional. If you are interested in finding out more about an MBA with a specialization in banking, then you should go here.

Confused? Check Out These 10 Key Concepts to Understand in Investment Banking Operations

Posted on July 22, 2021November 29, 2023 by Imarticus Learning

Do you want to start learning about investment banking but don’t know where to start? Don’t worry, we have got you covered. The following list covers the top 10 most important concepts in this field. It would help you get familiar with the jargon used by investment bankers and start learning easily.

After all, investment banking is a great area with many possibilities of growing professionally. However, some concepts might be hard to crack. Let’s begin understanding these simple but essential concepts:

Top 10 Investment Banking Concepts

· Stock

A stock represents ownership of a share in a company. When you buy a company’s stock, you buy a small fraction of that organization which is called a share.

· Equity

Equity refers to the value of an asset after deducting all the liabilities on the same. Owning a stock entitles the owner to a proportion of the company’s profits and assets equal to the amount of stock he/she possesses, hence it is also called equity.

· Financial Instrument

A financial instrument is a virtual or real document that represents a legal agreement of some monetary value. It can be debt-based or equity-based. There are many subcategories of each kind of financial instrument as well.

· Derivative

A derivative is financial security whose value relies upon an underlying asset (or a selection of assets). The underlying asset (or assets) is called a benchmark. Popular examples of financial derivatives are interest rate swaps, options, and forward contracts.

· Asset

An asset is a resource that has an economic value that an individual, organization, or country owns. The owner of an asset controls it with the expectation of receiving a future benefit through appreciation in its value. An asset can benefit the owner in multiple ways depending on its nature.

· Liability

A liability is something a company or a person owes to another party. Examples of liability are accounts payable, loans, bonds, accrued expenses, deferred revenues, and mortgages.

· Debt Finance

When a company borrows funds from institutional investors or individuals to handle expenditures or working capital and promises to pay interest and principal for a set duration, it is called debt financing. In other words, when a company finances its operations by taking on debt, we call it debt finance.

· Boutique Banks

Boutique banks are investment banks that specialize in a minimum of one aspect of this field. Some prominent boutique banks are Allen & Co. and Charles Schwab.

· Bond

A bond is a financial instrument that represents a loan taken out by an organization. Bonds allow companies to raise capital by borrowing funds from investors rather than banks.

· Security

Security refers to a negotiable and fungible financial instrument that has some value. Security could be a stock, option, or bond.

How to Start an Investment Banking Career?

Starting an Investment banking career is easy if you have the right resources. Recruiters in this industry look for certified professionals who are adept at various economic, business, accounting, and financial concepts. Investment bankers must also know how to evaluate corporations to forecast their future performance and make decisions accordingly.

The best way to start your career in this field is to find the right courses for investment banking and join one of them. You should choose one that lets you learn online and test your skills through projects and assignments while teaching you all the required concepts.

By and large, investment banking is a broad subject with many concepts and skills. We recommend checking out the CIBOP program, which is among the most popular courses for investment banking in India. It will help you learn all the concepts we discussed in this article along with additional subjects and technologies.

Top Investment Banking Trends To Watch In 2021
Does Corporate Finance Excite You, Here Are Some Investment Banking Courses Which Will Help You Achieve Your Goals
How Good Is Investment Banking As a Career

Stages Of Money Laundering And How To Combat It!

Posted on July 19, 2021May 24, 2024 by Imarticus Learning

Money launderers’ methods are becoming more sophisticated every day, and financial transactions are becoming more complicated. In addition, the speed with which money and assets can be transformed and transferred has expanded rapidly due to the greater use of technical communications.

There is no one-size-fits-all approach to money laundering. Regardless of the methods used, the laundering process is divided into three stages, each of which may include launderers’ transactions that could alert a financial institution to criminal conduct.

Money Laundering Process

Anti-Money Laundering Money laundering is a word that refers to the practice of converting cash obtained through criminal activities into legitimate and clean funds. This article will look at three broad stages and measures to prevent money laundering.

Money laundering usually involves three stages, including-

Placement

When a person involved in criminal activity deposits monetary proceeds into the financial system, this is the first stage of money laundering. This is done to get rid of the money obtained through unlawful means. This stage corresponds to the criminal’s maximum level of vulnerability.

Layering

The money is then separated from its original, illicit source in the following stage of money laundering. This stage of the procedure is frequently tricky. Money can be altered such that audits do not notice it by moving it quickly and to other regions. Money may be transferred between different nations at this point.

Integration

The funds are integrated when they are placed and layered into the financial system. The criminal can then obtain funds from their initial illicit source in ways that don’t bring notice to the issue.

Ways To Combat Money Laundering:

Innovations In Technology

The technology used to detect money laundering-related suspicious activity is improving and becoming more accurate. AI and Big Data software enable these systems to become more precise with anti-money laundering.

Record Management And Software Filtering

Financial institutions and corporations also retain thorough records of transactions and employ software that might identify questionable conduct. For example, customer data can be categorized according to suspicion, and transactions can be rejected if particular criteria are met.

Holding Period

Many banks demand that deposits be kept in an account for a certain number of days (usually around five). This holding period reduces the possibility of money laundering when it is moved via banks.

Investment bankers and financial regulators are trained with anti-money laundering practices to look for laundering cases in their daily encounters. Violations of these laws will result in hefty fines and other consequences.

How To Become A Investment Banker?

Anyone with a thorough understanding of financial assets and investing has a chance to work as an Investment Banker. However, for those seeking entry-level careers in the field, the following courses are beneficial:

Com Hons.
BBA in Finance
MBA
CFA Program

A professional can enter the field and earn meaningful experience with a certification course in Investment Banking by Imarticus to advance in the industry.

In terms of depth, expertise, and relevance to the Investment banking sector, the CIBOP program by Imarticus is the answer to your query “how to become an investment banker?”

It stands out in the category of finance courses. It’s an excellent method to develop industry-relevant subject expertise and land a job at a top global bank.

Course Highlights:

Case Studies: Complex business scenarios and real-world application cases.

In-class simulations: Allow students to learn through the use of simulations that mimic real-world challenges.

Teach-backs and evaluations: Key concepts are internalized through assignments, assessments, and quizzes, while teach-back sessions confirm knowledge correctness.

Interactions between industries: Prepare presentations based on real-world events and understand how market dynamics affect financial markets.

5 Must-Watch Movies That Every Aspiring Finance Professional Must Watch!

Posted on July 17, 2021March 22, 2024 by Imarticus Learning

A finance professional is a person who is responsible for guiding the clients to plan their finances and also comes up with good strategies on investment, thereby helping them manage their wealth in a better way. They can also be considered as Finance Advisors since they also evaluate tax and investment-related aspects for their clients.

To start a career in the field of finance, one must have a bachelor’s or a master’s degree in finance and have a good hold over subjects like mathematics, accountancy, economics, and auditing.

What are the career options after graduation?

Many students after having completed their degrees in Finance get confused and wonder what are their career options after graduation. It is a vast field with unlimited opportunities that promise a bright future. For Finance aspirants, there are many options in the investment banking industry.

Investment banking is one of the best and sought-after careers in finance. It can change one’s career trajectory and promises a lot of growth. For better guidance, here is the certificate in Investment banking details:

The CIIB (certificate in investment banking) is an extensive certification exam designed to test one’s understanding and in-depth knowledge of investment banking. The course covers everything from the basics of investment banking, mergers and acquisitions, corporate actions and restructuring, and financial statement analysis.

One can also take up a career in Risk management where one is required to have the ability to minimize the risk factors involved in investment and maximize returns for the clients. Apart from these options, there are many other opportunities too like, Portfolio management, public auditing, and corporate finance.

Other courses that one can do to hone their skills in the field of finance are accountancy courses, wealth management, banking courses, tax qualifications, etc. Finance professionals are required to have experience and the best way to gain experience is by taking up internships and learning as much as one can.

To be a successful finance professional, one must acquire the following skills:

Should have an immaculate knowledge of accounting and economics
Possess analytical skills
Good business management skills
Be a leader
Mathematical knowledge
Should be well versed with using computers and the required software
Have a keen eye and pay attention to detail

The world of cinema has often produced many movies inspired by the lives of finance professionals and there are some amazing movies that have created a lot of buzz in the past. Some are dramatic while some are comical but it is interesting to have a sneak peek into the life of finance or a business professional. Here is a list of the top 5 must-watch movies for finance professionals:

Boiler Room:

The Boiler room is a must-watch for everyone who is planning to try their luck in the stock market. The film deals with the protagonist’s wit, intelligence, and good stock brokering skills that get him a good position and respect in life but soon due to his greed and unlawful tactics he is on the FBI’s wanted list.

Margin Call:

This movie is about an investment bank dealing with the 2008 financial crisis. One of the best movies ever made about the financial crisis, it is engaging and smart. It highlights how not just physical but psychological factors bring down a company. One lesson to take away from this movie is to learn how to handle a company when it’s at its weakest and suffering through a crisis.

Wall Street:

Perhaps the finest movie ever to be made on the finance industry, the movie follows the story of a young man who has just started as a stockbroker and starts learning the ropes of the stock market. By watching this movie, viewers can learn the basic functionality of a stock market.

Rogue Trader:

The movie is about an investment banker and how the oldest bank of Britain goes bankrupt because of him. The lesson learned is that no single person can be given the responsibility of making a business successful and that companies must have a logical and disciplined investment plan to avoid losses.

The Wolf of Wall Street:

This list can never be complete without mentioning one of Leonardo Di Caprio’s best works to date. The Wolf of Wall Street is a comedy movie but shows the shrewdness and unethical ways in which the protagonist makes his way to the top and is eventually caught.

There are business lessons to be learned like loyalty and trust between the boss and his employees, something which is very important in the corporate world. The movie is a laugh riot with some very powerful performances.