Investment banking is a lucrative and passionate aspect of the financial sector which can be pursued by anyone provided you have the grit and drive for it. Read on to know how?
A richly rewarding career, investment banking can be an option for those who have an eye for numbers and detail. Working in investment banking industry does not only mean long hours and highly volatile markets and stressful life. It is also an opportunity for those who are interested in setting up their own career trajectory and succeed. Today, thousands of individuals are looking for investment banking course in order to consider it as a career.
Investment banking sector does require a lot of sacrifices and hard work and dedication. That being said, it is also one of those careers that has a high rate of job satisfaction. The sense of accomplishment, high salaries and a symbol of respect and dignity are some of the things that come with pursuing a career in investment banking.
Here are the top characters of those who want to have a career in investment banking.
Positivity
Since investment banking is a high-pressure work portfolio, it is not only important to have the skillset to thrive, it is also important to always have a cool and collected mindset towards work. A positive and growth-based attitude goes a long way in the investment banking industry. Being able to turn a dynamic and high-intensity atmosphere to a happy and positive one can help increase the overall productivity of the company.
Passion comes First
First and foremost quality one must have while pursuing an investment banking training is the passion to go great work. One must be able to completely immersive oneself in the task and love what you do in order to succeed in investment banking as a career.
Quality vs Quantity
Everyone who works in investment banking will tell you that it is important to focus on getting quality over quantity. Those who approach work with an attitude to just churn out cases in a factory mode will have difficulty thriving in this industry. Highly focused and specialized work on one factor of the work in order to achieve the best quality is the approach one must take while working in investment banking.
Resilience
Another great attribute that investment bankers have is the ability to build long lasting relationships through excellent communication skills and also be to sustain and retain them. Every time one facing a roadblock, one must be able to adapt and be resilient. This trait is important in this field as the dynamics of the industry is ever changing. So one must be able to make quick, smart decisions and continue to do the same for a long period of time. This also involves nurturing relationships with clients.
Conclusion
For those who are proficient in finance in their schooling years, investment banking is an option to consider for a successful career.
Tag: Investment Banking Courses
Is a Career in Investment Banking Lucrative For Any Individual?
For many, investment banking is a career that gives the best of all worlds-job satisfaction, money and a respectable lifestyle. Read onto to find out why everyone wants to join this industry.
Fancy suits and briefcases and a gait with pride are only the exterior attributes of an investment banker. Today, many are vying to join the extremely competitive and challenging workforce of an investment banking company. This is predominantly due to the fact that a career in investment banking is highly lucrative and rewarding. Many educational institutes are also providing investment banking certifications to help support the influx of candidates who want to pursue a career in this field. Individuals who have completed an investment banking course are prolific, intelligent and detail-oriented which many banking firms look for.
Here are the top reasons why many individuals are considering a career in investment banking.
High Salaries
One of the biggest reasons many people join this industry is due to the fact that most banking and fintech firms provide high salaries to both freshers and seasoned professionals. This is mainly due to the fact that these are the people who are dealing with money, to begin with. Everyone is highly competitive and earning big pay cheques which can support a good luxurious lifestyle.
Interesting work portfolio
Investment bankers get to work on deals and plan strategies for their clients which in itself is fun work. Many get to be part of massive decision making when it comes to large MNCs in various industries thereby adding curiosity and challenge to the work. Individuals also get to work with the smartest and most driven bankers in the financial sector, thereby creating a good work atmosphere. From raising capital for a startup to looking at mergers or acquisitions, there are many responsibilities that one gets to take care of as an investment banker.
Symbol of Pride
Investment banking is a field that is revered the world over due to the competitive and volatile nature of the industry. It is a matter of pride and dominance which drives many individuals to join the field. The job adds a prestigious feeling and helps them achieve respect in the community. The earnings derived from an investment banking career can set you up for a comfortable and respectable lifestyle and also help individuals better plan their own personal investments.
Conclusion
Investment banking is a great career choice if you are passionate about numbers, you are driven and looking for a luxurious lifestyle.
Start a Career in Investment Banking – A Definitive Guide
An investment banker is responsible for raising or securing money for corporations or firms to fund their operations. Their scope of work includes ushering companies through complex processes such as acquisitions, mergers, and IPOs. In order to do this, investment bankers should have immediate and in-depth knowledge of how financial markets and forces work along with the legal requirements.
If you are looking to start a career in investment banking, then there are several steps you can take in order to become a successful one. One of the first criteria that you must meet is getting a bachelor’s degree. While a degree in math, finance, or accounting is preferable, you can become an investment banker with any degree. While in college, take up any electives that offer insight into finance and work closely with professors who teach finance.
During the break before your last year of college, apply for internships at all the investment banking firms. Even if you do not like some of the firms, interviewing with them will give you experience and you’ll know what to expect. Secure an internship for two to three months and build relationships within the firm.
You could also go a step further and enroll yourself in an industry relevant investment banking course that will round out your resume and make you a valuable hire. These courses are designed to give you in-depth knowledge of financial products, operational risks, and regulation. Most of these courses also prepare you to take up finance related certification.
After you have finished your bachelor’s degree, apply to all the placement opportunities your college offers. Be sure to create a CV that is concise and to the point. Do not have a CV that is longer than a single page and keep it professional while also including all your extra-curricular activities. At this stage, you should focus on the interview process as this is the make or break point.
Read up on financial developments that have happened in the past year. You do not need an expert level of understanding of the events but a basic idea of what is happening in the financial world and its concepts. You will also be asked basic questions on the concepts of investment banking and it will serve you well to study the answers to them beforehand.
If you have had investment banking training before at college or in an institute, you will be prepared for the interview more than your fellow college mates. However, it is still important that you do your homework before going for the interview. Read up on the firm you are interviewing with and focus on their recent deals.
It is also important that you admit that you don’t know the answer to a particular question instead of giving an answer that you’ve just made up. These firms aren’t looking for someone with all the answers, rather they are looking for someone who has the correct mindset and attitude.
Main Differences Between ‘Operational Risk’ and ‘Operations Risk’
The prospect of losing something due to operations or logistics in any business is daunting. However, for those conducting business, the main difference between operational and operations risks need to be understood. Here is how.
One of the biggest challenges that any company faces is its ability to understand and embrace risk. The risk could be associated with various aspects of the business including operation-based or operational risk or risk of changing. Adapting and evolving to change can be the greatest asset of a company when it comes to dealing with risks. This is a difficult function for many and it is mainly since one does not understand fully what risks are involved when it comes to running a business.
To start with the basics let us try and understand the main risks in the field of investment banking. If one is pursuing a career in investment banking, they must be able to firstly function in a high risk, high return environment. So innately the job comes with its own set of challenges. Operational risk is defined as the risk of change in value which can cause actual losses which can be due to several factors such as loss of processes, people and systems or external events such as a legal risk. It is linked to good management and quality assurance as well, so it is an important aspect of any business process. Individuals who have investment banking training will be able to assess the operational risk and make appropriate forecasts.
Similarly, operations risk can be the ones associated with decision making and strategy. A plan may be formulated to conduct the business in a certain way and there may be naturally occurring operations risk which adds losses to the business. This can again be planned in such a way that the business minimizes or mitigates the risk associated with conducting the business.
Investment bankers who have completed an investment banking course are highly attuned to understanding the operational risks that come with the business. Hence, they are equipped to deal with the same in a manner that benefits the company in the long-run.
Here are the top ways banks deal with operational risk.
Capital buffer
Operational risks can sometimes have disastrous effects on the company. It can be due to errors made by employees or processes while dealing with the clients or a function. In order to manage this kind of a risk, companies keep a contingency plan or a capital buffer to ensure that the impact can be managed. This is like a Plan B for the company in case things go wrong. Investment bankers recommend putting away a certain percentage of the capital for such scenarios while assessing the business proposition.
Becoming more Digital
As the world moves towards digital transformation, many organizations are considering artificial intelligence and machine learning to reduce operational risk. This is proving to be effective to a large degree as machines can perform the tasks required in a seamless fashion with zero errors.
Conclusion
While risk is an unavoidable reality of conducting business, when one can distinguish between the various types of risk, they are in a better position to take a decision which will impact the growth and success of the company.
Investment Banking Business Model and Financial Stability
Investment banking is the clear winner when it comes to advisory and mediation roles. It takes care of investing from end to end, by assessing the risk and evaluating the flow of credit.
Not only do they cater to private investors, but also to large and small companies alike, and also to governmental organizations. With so much to offer, how does investment banking generate revenue and profit? How does an investment bank thrive? This article attempts to answer these questions by taking a look at the business or financial model of investment banks and their methods for financial stability.
Financial modeling is crucial during decision-making. The prices are decided by the financial model. Previous trends are analyzed, changes are incorporated, and future trends are predicted. These are important data points that aid in making the right decisions. Financial modeling helps investment bankers in equity research and credit ratings. The models are used to analyze the value of a company, thereby deciding whether to go for a merger or an acquisition. Companies use the financial model to assess their standing and growth.
Investment banks receive a commission for all the successful transactions they make between agreeing parties. The bigger the deal, the more they earn! They earn money through trading by employing traders to invest in shares and derivatives. The banks also receive asset management fees from their clients for evaluating and protecting their assets. For all the advisory and compliance roles, the banks charge the corresponding service fees. Investment banks generate revenue from dividends too. They receive income for underwriting stocks and bonds. Investment banks spend a huge chunk of their resources on research and analysis. Once through research is done and reports are generated, the important data and insights are sold to hedge funds and mutual funds managers.
Some investment banks also generate revenue by performing wealth management roles.
There are a few business models in investment banking that can be used during turbulent times, for higher performance. These are :
Flow Monster: This business model demands competitive pricing, strong sales relationships, high-quality research, and highly efficient technology.
Product Specialist: Holds conviction to a particular product or technology or type of trade. Here, the product managers must be fully knowledgeable about the product and what differentiates them.
Risk Master: This business model tries to ace risk assessment and management. Calculated and intelligent risks are taken. It is not a common model but is quite successful.
To enhance and optimize their business models, investment banks can try to focus on client-centric initiatives. Smooth onboarding and regulatory checks are generally expected. Simplifying the IT infrastructure, reducing overheads helps in reducing operational costs. Investment banks can invest in financial technologies to help overcome technological glitches and improve stability. Often ignored is the organizational structure in investment banks. By changing the internal culture and hierarchy, sometimes a lot can be achieved. Having said that, maintaining standard procedures is equally important.
These are areas where the banks can work on to maximize efficiency and maintain financial stability.
Financial technology plays a major role in investment banking. Currently, there is no unified structure for all the technologies used. They are diverse and heavily layered, which increases the complexity of regulation. Cybersecurity is a major challenge for the banking sector. Commonly suggested, is the two-factor authentication method for verification of identity.
Financial engineering requirements sometimes determine the success of banking. A flexible model that evolves with the ever growing and changing technology, that is more adaptable is the need of the hour for Investment Banking Courses and business models. It is generally suggested that the banks spend considerable resources on strategy and optimization to avoid bad transactions and financial instability. To turn around investment banking, some fundamental, yet simple transformations are required. And finally, investment banks need to address the disruptors and attackers of the economy, so as to adapt to changing ecosystems and maintaining a resilient system.
Outrageously Simple Investment Banking Tips
Investment banking is a particular division of banking which is associated with capital making for enterprises, government, and bank support in compound financial transactions. In simple words, investment banking meaning pertains to a bank helping public and private companies gather funds in both the equity as well as debt capital markets. These investment banks were actually founded to raise the required capitals and also to offer guidance on different financial strategies for corporate sectors.
However, when you venture into the field of investment banking, the scenario may demand many strategies to be put in the right place to become successful. You may have taken many investment banking courses but the real battle begins when you actually start the job. This is the time when you actually realize completely what is investment banking?
Well, here are certain tips that can assist you in succeeding in the area. These tips will make the job easier for you and will definitely give you an edge over other candidates in the field.
Be Adaptable
As per Graham Ward, who has been the former head of equities at Goldman Sachs and is now at the post of adjunct professor of leadership at INSEAD, if you are aware of the kind of personalities that major financial institutions are looking at, you can ensure a long-term investment banking career for yourself. Moreover, you need to be a team player who understands all the requisites of investment banking. In addition, you need to be flexible enough to learn to adapt to the continuous changes in investment banking scenarios.
Persistence is the Key
Just understanding what is investment banking is not enough to be successful in the field. You need to be smart, with an added edge of possessing hard determination and a clear focus. Try to compensate for the area where you lack in brains with high levels of energy. In short, you need to be enthusiastic, energetic, dogged, and persistent to be successful.
Always be aware of the competition
A successful investment banker needs to continuously think of different ways in which he can add value during his or her interactions with the clients. This implies that you need to be informed about the different aspects of investment banking even more than the so-called investment banking experts. Read everything related to your specified coverage area as well as your clients. This requires extreme discipline and you need to go through your client company’s newsletters, reports and even about their shareholders. Also, try to read between the lines and make your own assessments about the company. Moreover, it will not be a drawback if you ask questions about what you do not understand about the said client company.
Taking career risks is imperative
Investment banking career path is not always a smooth one. The investment banking avenues neither stay in one location nor in just one sector. You as an investment banker need to take up the opportunities as they appear. You need to be open-minded and flexible enough to take up new investment banking opportunities. You can enroll in investment banking courses. This will help you understand the investment banking meaning in a better sense.
Consistency is the key
The job of an investment banker is not an easy one. As you rise up in position, the pressure increases. However, your consistency will help you in remaining cool minded when you reach a top position. Moreover, consistency will assist you in handling the huge amounts of revenues that you are expected to generate every year.
Dressing Sense Makes a Major Impact
Though this sounds a little strange, it is a fact that being dressed properly makes an impact on your clients. It is also a common fact that many clients turn down the investment bankers who were dressed shabbily. Thus, it is highly imperative to be dressed properly when you are going for a deal.
A Look at The Top 5 Largest M&A Deals of All Time
Did you know that 2018 was globally the most happening year for deals in the capital markets and mergers or acquisitions in particular?
In investment banking circles, 2015 is remembered and used as a case study for two M and A deals. The deals of SABMiller PLC’s tie-up with Anheuser-Busch InBev worth 106 billion$ and the Allergan PLC tie-up with Pfizer Inc. for 160 billion$. Both deals are expected to be completed soon and are memorable because they comprise deals between rival forces merging. Both of these recently announced megadeals form giant conglomerates in their respective verticals.
Dealogic ranks M and A deals. According to their ratings, the top 5 deals of recorded times are as follows.
1. 1999 deal of Mannesmann being acquired by Vodafone AirTouch for USD 172 billion
This largest deal of all times was a cross-border, resisted hostile takeover. At that time Mannesmann was Germany’s number one wireless carrier and Vodaphone likewise Britain’s biggest wireless carrier. It was still the time of voice-only fixed lines and the sale of voice-only mobiles was not only popular but booming as well. Smartphones were in their infancy and Germany was definitely not a hostile takeover capital market.
Fighting the rivals for three months, Mannesmann tried for a merger deal with the French company Vivendi. Vodaphone struck back by forging a sweet deal with the French company. Once the writing was on the wall Mannesmann gave up as even the shareholders were in favor of the Vodaphone offer for a merger. Thus was born the world’s largest deal in investment banking and the biggest conglomerate mobile phone service provider.
2. 2015 deal of Allergan and Pfizer merger worth USD 160 billion
This deal is a unique case study where Allergan and Pfizer set about creating the planet’s biggest company in pharmaceuticals with Pfizer’s Celebrex and Viagra on the same selling platform as Allergan’s Botox. The Pfizer move for inversion meant lowering of taxes as the US company could use the technique of inversion to claim incorporation in foreign countries with lower tax-rates while merging with Allegran who are Dublin-based. The US government termed unpatriotic such inversion moves and passed a bill to restrict such moves. However, the Allergan-Pfizer union could sidestep the rules since the acquiring company was indeed a foreign company.
3. 2013 deal of Verizon Wireless merging with Verizon Communication in a merger worth USD 130 billion
Vodafone was not the buyer but seller in this deal. Verizon Communications the U.S.-based giant in the telecom field bet big on broadband and cellphone services to buy the 45 percent stake it did not own from its JV partner Vodaphone, in a deal worth 130 billion$. Dealogic also ranks this the largest corporate bond issue in investment banking, because financing was through 49 billion $ in bonds by Verizon making Verizon Wireless today’s largest carrier with more than 137.5 million global customers for its wireless services.
4. 2015 deal of SABMiller acquisition by Anheuser-Busch InBev for USD 117 billion
The 117 billion$ worth merger of the two brewery giants created a giant union selling a close 33% of the global beer sales. Anheuser-Busch the Belgium-based renowned brewer found a willing sales merger partner in buying SABMiller who are U.K.-based brewers. SABMiller bargained its way to a great deal almost 50 percent higher than its closing price just a day before announcing the deal. This merger has stellar brands like Budweiser, Pilsner Urquell and Stella Artois from a 64 billion $ worth titan brewery today. The anti-trust approvals are still pending in many countries and when the deal fails, SABMiller will still receive the breakup fee of 3billion$.
5. 2003 deal of Time Warner’s acquisition by America Online in a marriage of sorts worth USD 112 billion
According to Bloomberg America Online’s purchase of Time Warner worth 112 billion$ could be famous as the 5th largest deal in history, and infamous as the worst corporate marriages in M and A global history. What was being touted as a synergetic marriage of new and old media giants, with Time Warner being the largest entertainment company and AOL being the pioneer of bringing internet to its customers, was doomed to a disastrous start. In just a few months the economy slumped with the bursting of .com bubble. The two companies were culturally too different to establish the promised progressive initiatives. Later that year AOL had accumulated losses of 99 billion $ which grew to 100 million$ plus in the next few years. The initial losses included charges that were reported at declining share values of AOL and in 2009 AOL was spun off by Time Warner amid huge shareholder losses.
Concluding notes:
An important investor lesson learned was that the mergers do not always yield benefits promised. Do an Investment Banking Course with Imarticus Learning to learn the nitty-gritty of M and A deals and exercise caution as a shareholder investor. All the best with M and A deals and your investment banking course!
The Evolution of Corporate Strategy From Budgeting in The 1950’s
Learning all about how strategy in corporate is impacted by the budget vision, balance scorecards, goal weights, and such actions, is critical to succeeding in a highly competitive corporate environment. Such learnings should be explored about modern corporate ecosystems and are best achieved in the classroom mode of learning.
There are a number of factors that affect corporate strategy. In this article, we shall discuss the bare essentials of vision, budgets, the BSC and goal weights and how they impact competitive strategy.
Corporate Vision:
Most corporate strategies do have a vision. Look at the functioning of Southwest Airline’s Herb Kelleher who had the foresight to bring flight prices on par with road travel. Working on his intuition and corporate strategy, the airlines evolved as the leading low-cost carrier. However, blinding vision can also overlook realities in the market place. Like the Enron case study where Jeffrey Skilling’s vision was to make it unstoppable because of its quantitative processes and securitization.
However, the concept was blinded to endemic problems and led to a significant financial drain. Similar to this was the idea of Jack Welch in corporate strategy that every business should either be number one or two in its category or be disbanded. The vision had a short life and was found faulty as success evaluation was very different from slotted classes.
Corporate strategy has evolved since the 1950s:
Great strategists in Indian history, since the first budget in the 1950s, were those leaders who personified the timeless corporate principles and could gauge the game a few moves ahead of the others. To them, there is no winning. Rather it is about finding newer challenges, gaining better skill sets and the resources to handle them all. In corporate strategy and especially in India, the corporate strategy since independence has been closely linked to the budget and its vision.
Competitive corporate strategy and Goal-weights:
Citing from a 2002- book by Professors Gary Latham and Edwin Locke who wrote extensively on corporate goal-setting based on their combined 70years of experience, competitive strategy goals should be defined as below.
- Better performance comes from setting challenging goals.
- More significant effort is generated from higher goals.
- Rapid work is possible with tighter deadlines.
- Personal commitments made public enhances the probability of succeeding.
- Goal achievement is not impacted by who and how the goals are set.
Though this strategy seems simple and perfect many organizations follow policies that are in total opposition. Like strategies that indicate goals relatively as in cascading goals, the SMART goals and using percentage goal weights.
A SMART goal is ‘Specific’ and ‘Measurable’ while being ‘Attainable’ to the doer, ‘Realistic’ in quantitative terms and ‘Time-bound’ with specific deadlines. This method shows results when looking if goals are set and are specifically well-stated.
Cascading goals from the top downwards should never be limiting and rigid. They need to be in line with the goals of the executive team and individual goal setting.
The use of goal weights often proves counter-productive when one uses percentages. Instead, the best way is to indicate low, medium and high goals as the priority base.
Having looked at the various methods involved in goal-setting let us reiterate that while goal setting is of prime importance, there is no one way or technique to achieve goal success. Research by Latham and Locke point out that investing thought, effort and time into goal setting does payoff. One needs to be cautious with cascading management goals, avoid numerical and percentage weights and not blindly following the SMART test.
The Balanced Scorecard:
The BSC helps manage and implement corporate strategy within a time framework. The BSC is a useful tool which links strategic objectives to the vision, measures initiatives, and targets, and balances financial measures with KPI indices. It applies across the organization and improves business performance. The technique was first advocated by Dr. David Norton and Dr. Robert Kaplan in the early 1990s and is accepted as being the theory.
Conclusion:
Concepts like the balanced scorecard, cascading goals, SMART goals and using percentage goal weights in goal setting are an integral part of corporate strategy. If this field interests you Imarticus Learning has some excellent courses in corporate strategy.
At Imarticus, it is essential to learn the best positive approach and test all theories. The assignments, case studies, and project portfolio are all practically oriented. The Investment Banking Courses also have modules in honing soft-skills and personality development coupled with assured placements and a well-accepted certification. So why wait any longer? Join today!
What Career Advice Would You Give To Someone Who Wants To Become an Investment Banker?
What does an investment banker do?
Simply investments! An investment banker plays a pivotal role in an economy by offering valuable suggestions to corporations and governments. He is more of a financial advisor practicing in capital markets. The significant roles performed by an investment banker include helping clients to raise money by issuing bonds, arranging equity, purchasing securities and managing the risk associated with them.
The Career in investment banking
The career in investment banking eventually became lucrative after the global financial crisis of 2007-08. The career begins from merely being an analyst to associate, account manager, director and the career reaches zenith ultimately at the stage of being a managing director (MD).
- The analysts are usually given the task of preparing presentations and pitch books. They often have to deal with the analytical work in excel files and administrative jobs such as scheduling conferences and arranging excellent deals.
- The associates are responsible for the tasks same as those of an analyst. The only difference is that they often deal with the clients directly.
- As the name says, an account manager maintains the accounts and is always in direct contact with the clients.
- The senior bankers such as directors and MDs are the ones answerable for all deals and the success of investment bank.
How to become an investment banker?
While pursuing an undergraduate course, students can expose themselves to the job profile through internships in investment banks. This serves as a baby step for the future career. After graduating, one can join a firm and begin a career as an analyst. Usually, in 2-3 years, promotion is made to the position of an associate. Students having an MBA or a masters degree are often recruited directly to the post of investment associate. Degrees in commerce, banking and finance are what recruiters usually demand.
Other pre-requisites which add feathers in the cap of an investment banker are certain certifications. For instance, the designation of a chartered financial analyst (CFA) can result in a boom in the career of an investment banker. The essentials include excellent communication skills, multi-tasking skills, ability to churn brain for longer hours, problem-solving and analytical skills.
Investment banking course in Mumbai
- School of investment banking in Mumbai provides investment banking courses such as mastering in financial statement analysis, financial modelling etc. which serve as the building blocks in the career of a successful investment banker. It provides placements in firms such as Bank of America and Citi bank.
- IMS Proschool offers multiple courses to candidates preparing for candidates willing to enter the world of investment banks. Mention can be made of pot graduate program in investment banking and equity capital market, equity research analyst and financial modelling.
Investment banking courses in India
There are a plethora of institutes in India offering courses for an excellent career in investment banking.
- National stock exchange (NSE) of India provides certification in financial management. The candidate has to appear for an online test popularly known as NCFM. The modules for preparation are readily available on the website of NSE.
- FLIP certifications are handy in preparing for mergers and acquisitions and private equity.
- The wall street school(TWSS), Delhi has turned out to be the most preferred choice of students in the recent past.
There are certain other certifications in addition to CFA which if obtained lead to a glorious career. These include financial risk manager(FRM), certified financial planner( CFP) and chartered global management accountant( CGMA).
This is the ultimate guide for you to be an investment banker.
Also Read: Investment Banking Career Path
Automation in Investment Banking
Taking the technological progression into consideration, none of the industries is left untouched across the globe. In the recent few years, the industrialization has successfully marked its space into the area of banking. A lot of countries have embedded Machine Learning and Artificial Intelligence into their operations. The trend has impacted, massively, the Indian banking industry, wherein, the investment banking segment is witnessing a significant upsurge in concern to getting automated.
The Investment Banking in India is a much broader concept as it majorly revolves around the establishing and retaining essential relationships with the potential clients. The Indian banks are actively ensuring the successful implementation of automation for attaining desirable results. Though the human intervention is a necessary facet of investment banking, however, the automation is undoubtedly taking over investment bankers and initiating much-systematized operations. An Indian investment banker involves more of Sales and Marketing as compared to applying finance in their routine responsibilities. The efficacious execution of technology-driven software’s in Investment Banking Course in India has eased the complexities and are proving an added advantage for contemplating financial analysis.
The automation in Investment Banking is turning out be a hugely profitable deal. The banking transactions have become smooth followed with error-free execution, in turn, circumventing the possible associated risks. On the other hand, the financial analysis has become proper due to the figures being extracted from the automated system technology. The automation has indeed, fetched stronger systems that effectively reduce costs for the human intervention. The scenario of traditional investment banking in India involved a range of significant workforce. However, with the emergence of automation within the business, the added costs incurred in the process of hiring and training of the new employees have witnessed a reduction. Also, the values have been saved to a great extent in bringing the office equipment followed by paying massive wages to the workforce.
Taking a major throwback to the Investment Banking in India, the routine operations – right from essential transactions to financial analysis, the processes were surrounded with tremendous challenges. The workforce suffered from workplace disturbances which in turn, impacted their productivity adversely. Such aspect also, made their performance weak and raised competition as well. Nevertheless, the implementation of Machine Learning and Artificial Intelligence ensured a better execution and reducing the paperwork within the investment banks. The abridged processes have undoubtedly increased the productivity of the investment bankers and have provoked them to deliver the profitable results.
Long gone are the days where banks took extensive time and energy to solve the customer queries. The automation has successfully led to a substantial increase in the conversion rate with a significant boost into the responsiveness from the customer’s perspective. The automation has provided the investment banks with a personalized platform that drives better and timely execution of decisions. Following such tremendous automation approach in the investment banking, the operations have efficiently become flexible. The flexibility in the procedures have improved the functionalities and enabled the banks to expand their services overseas.
Automation is an intense wave which is hitting the banking across the globe. The successful implementation is ensuring better retention of customers and doing extreme benefit to the banks. However, the automation within the Investment Banking in India is demanding a considerable awareness due to the technology being overlooked by those situated in the developing cities. Automation possesses a strong tendency to change the face of the economy and enable efficient delivery of strategized decisions for the betterment of the sector.
The banks are automating with time, in turn, leading to improved and appropriate changes in the back-office segment of the banks.