A Career in Investment Banking: Worth the Investment?

INVESTMENT BANKING: WORTH THE INVESTMENT? A CAREER IN The intensely competitive, profit-driven world of investment banking can seem like the Holy Grail: great pay, big deals, and phenomenal training. But at what price? The high pressure and long hours aren't for the faint hearted. And while tremendous rewards await those that reach the top, it's a very steep climb to get there. so, IS IT ALL WORTH IT IN THE END? YOU BE THE JUDGE.….. FIRST YEAR SALARY True, your first year salary will be awesome, and you'll be earning a lot more than most other new graduates. 7 yrs BIG LAW FIRM ASSOCIATE 145k 11 yrs FAMILY PHYSICIAN 141k 4yrs INVESTMENT BANK ANALYST 125k 4 yrs CIVIL ENGINEER 49k 5 yrs HIGH SCHOOL TEACHER 45k BONUSES Your bonus should push you into the six-figure salary bracket. Not bad for a 23 year old. And as you climb the ranks, this will only get better. $20m+ $700k BONUS BASE SALARY $450k $300k $200k $175k $175k $150k $125k $115k $70k $65k ANALYST (1st YEAR) ASSOCIATE VICE PRESIDENT ANALYST DIRECTOR / SENIOR VICE PRESIDENT MANAGING DIRECTOR / PARTNER (3rd YEAR) (1st YEAR) "Whether it is earned in €, $, £ or \, on a good bonus day it will feel as if God came dowm to earth and kissed [you] on the forehead." http://www.theibanker.com/why-people-become-ivestment-bankers/ AVERAGE WORK WEEK Like sleep? Then this isn't the job for you. Your social life will also take a hard hit. You'll make big bucks, but work hard for every single one of them, and probably be best friends with the pizza delivery guy by the end. INVESTMENT BANK ANALYST APPLE STORE ELECTRICIAN GENIUS 40% 20% 20% PLAY WORK WORK 60% 80% 80% WORK PLAY PLAY $25.16 / HOUR $18.11/ HOUR $30 / HOUR MOBILE SEO PLUMBER APP DEVELOPER CONSULTANT 20% WORK 20% WORK 20% WORK 80% PLAY 80% PLAY 80% PLAY $38 / HOUR $25 / HOUR $38/ HOUR "I'd leave right now but it's only 9 PM... I need to put in some face time." http://www.mergersandinquisitions.com/investment-banking-lingo/ UP OR OUT? IMPORTANT FACT: Only 1% of Investment Bankers ever make it Managing Director or Partner. Some burn out, others just want out. MANAGING DIRECTOR / PARTNER 1% 13 - 14 yrs 10 - 11 yrs SENIOR VICE PRESIDENT VICE PRESIDENT 6 -7 yrs 3 yrs ASSOCIATE (1st YEAR) ANALYST 2 yrs (2nd YEAR) 1 yr ANALYST (1st YEAR) But when one door closes, another one opens... SO WHERE DO THEY ALL GO? ANALYST LEVEL 35% 26% 12% 10% 5% 5% MBA PROGRAMS PE / VC HEDGE FUND OTHER INVESTMENT MANAGEMENT CORPORATE DEV / EQUITY RESEARCH CORPORATE FINANCE ASSOCIATE LEVEL 25% 20% 10% 10% 5% PE CORPORATE CORPORATE FINANCE INVESTMENT STRATEGY / DEV MANAGEMENT CONSULTING VICE PRESIDENT LEVEL 30% 15% 5% CORPORATE DEV CORPORATE STRATEGY / FINANCE CONSULTING CONCLUSION If you like the fast-paced, deal-driven world of banking, and don't mind putting your investment banking may be a great career choice. At the very least it can be an awesome training ground for entry al life on hold, then into other professions. But if the reality of investment banking doesn't sound like you, then it's time to look elsewhere. AFTER ALL, NOBODY SAID MAKING MILLIONS OF DOLLARS WOULD BE EASY. Sources: Presented by: Wwww.watrtprep.com/knowledgwi barkaralay Firmex www.firmex.com winvestment-barking-compenation investment-barking-compensation sergersandinqusitions.com/investentbking-alary id200no1 AAPE nicalionudienodencaaight Familytysiciens.p hos doesa leer wok in a week .com/B-Bonuses-2007-20122jpg nH-banking-salaries-mdald Gongem.co2012-01-20 worker.parity fe Lorgnwisuntinmum.wage.n.the.Uritedtal o mlnustn hisnalaries-modornald como nntnenking-bonuse ticlesfnvestmentbenkinghecrulingintervieinginvestmentbankingaliand-bonu sis.com/blophwhat-banke-career-realy-look-lka-the-datautmscuronewaletteutmmediumnewslettr INVESTMENT BANKING: WORTH THE INVESTMENT? A CAREER IN The intensely competitive, profit-driven world of investment banking can seem like the Holy Grail: great pay, big deals, and phenomenal training. But at what price? The high pressure and long hours aren't for the faint hearted. And while tremendous rewards await those that reach the top, it's a very steep climb to get there. so, IS IT ALL WORTH IT IN THE END? YOU BE THE JUDGE.….. FIRST YEAR SALARY True, your first year salary will be awesome, and you'll be earning a lot more than most other new graduates. 7 yrs BIG LAW FIRM ASSOCIATE 145k 11 yrs FAMILY PHYSICIAN 141k 4yrs INVESTMENT BANK ANALYST 125k 4 yrs CIVIL ENGINEER 49k 5 yrs HIGH SCHOOL TEACHER 45k BONUSES Your bonus should push you into the six-figure salary bracket. Not bad for a 23 year old. And as you climb the ranks, this will only get better. $20m+ $700k BONUS BASE SALARY $450k $300k $200k $175k $175k $150k $125k $115k $70k $65k ANALYST (1st YEAR) ASSOCIATE VICE PRESIDENT ANALYST DIRECTOR / SENIOR VICE PRESIDENT MANAGING DIRECTOR / PARTNER (3rd YEAR) (1st YEAR) "Whether it is earned in €, $, £ or \, on a good bonus day it will feel as if God came dowm to earth and kissed [you] on the forehead." http://www.theibanker.com/why-people-become-ivestment-bankers/ AVERAGE WORK WEEK Like sleep? Then this isn't the job for you. Your social life will also take a hard hit. You'll make big bucks, but work hard for every single one of them, and probably be best friends with the pizza delivery guy by the end. INVESTMENT BANK ANALYST APPLE STORE ELECTRICIAN GENIUS 40% 20% 20% PLAY WORK WORK 60% 80% 80% WORK PLAY PLAY $25.16 / HOUR $18.11/ HOUR $30 / HOUR MOBILE SEO PLUMBER APP DEVELOPER CONSULTANT 20% WORK 20% WORK 20% WORK 80% PLAY 80% PLAY 80% PLAY $38 / HOUR $25 / HOUR $38/ HOUR "I'd leave right now but it's only 9 PM... I need to put in some face time." http://www.mergersandinquisitions.com/investment-banking-lingo/ UP OR OUT? IMPORTANT FACT: Only 1% of Investment Bankers ever make it Managing Director or Partner. Some burn out, others just want out. MANAGING DIRECTOR / PARTNER 1% 13 - 14 yrs 10 - 11 yrs SENIOR VICE PRESIDENT VICE PRESIDENT 6 -7 yrs 3 yrs ASSOCIATE (1st YEAR) ANALYST 2 yrs (2nd YEAR) 1 yr ANALYST (1st YEAR) But when one door closes, another one opens... SO WHERE DO THEY ALL GO? ANALYST LEVEL 35% 26% 12% 10% 5% 5% MBA PROGRAMS PE / VC HEDGE FUND OTHER INVESTMENT MANAGEMENT CORPORATE DEV / EQUITY RESEARCH CORPORATE FINANCE ASSOCIATE LEVEL 25% 20% 10% 10% 5% PE CORPORATE CORPORATE FINANCE INVESTMENT STRATEGY / DEV MANAGEMENT CONSULTING VICE PRESIDENT LEVEL 30% 15% 5% CORPORATE DEV CORPORATE STRATEGY / FINANCE CONSULTING CONCLUSION If you like the fast-paced, deal-driven world of banking, and don't mind putting your investment banking may be a great career choice. At the very least it can be an awesome training ground for entry al life on hold, then into other professions. But if the reality of investment banking doesn't sound like you, then it's time to look elsewhere. AFTER ALL, NOBODY SAID MAKING MILLIONS OF DOLLARS WOULD BE EASY. Sources: Presented by: Wwww.watrtprep.com/knowledgwi barkaralay Firmex www.firmex.com winvestment-barking-compenation investment-barking-compensation sergersandinqusitions.com/investentbking-alary id200no1 AAPE nicalionudienodencaaight Familytysiciens.p hos doesa leer wok in a week .com/B-Bonuses-2007-20122jpg nH-banking-salaries-mdald Gongem.co2012-01-20 worker.parity fe Lorgnwisuntinmum.wage.n.the.Uritedtal o mlnustn hisnalaries-modornald como nntnenking-bonuse ticlesfnvestmentbenkinghecrulingintervieinginvestmentbankingaliand-bonu sis.com/blophwhat-banke-career-realy-look-lka-the-datautmscuronewaletteutmmediumnewslettr