In my last article - How to make a career in Financial Modeling - I answered some important questions received through students.
In this article, I am going to show you 7 investment careers options.
Once the degree is in your hands, it’s time to decide upon a course of action.
Read about these investment careers options and decide the one which matches your interest level, skills, knowledge and long-term career planning.
Here you go:
1. Commercial Banking and Insurance
One of the most coveted careers is in the banking sector.
If you have the knowledge and skills in commercial credit, wholesale banking and in investments, debt financing, merger financing, then you surely stand a chance in pursuing a career in banking.
You can work as loan officers, handle banking operations, become a bank teller, handling debts and credits, handle marketing and even become branch managers.
If you possess the edge in risk assessment and analysis area, the insurance sector provides a lot of opportunities for you.
The insurance industry is worth billions.
You can begin a career in insurance becoming an actuary, responsible for calculating premiums and risk valuation or you can become a sales representative, selling insurance policies and working your way on the top.
2. Investment Banking
Many people are aware of big international firms like J P Morgan, Goldman Sachs, Nomura Securities, Citi Careers and Deutsche Bank.
But, there are other firms like SBI Caps, IDBI Caps, and 40+ Fund houses in India where finance professionals are in demand.
These companies are looking for professionals having knowledge and skills in financial analysis, business analysis, financial modeling, valuation, financial planning and so on.
Investment banking offers a challenging, demanding, glamorous and a growth-oriented environment.
As an investment banker, you deal with individual investors and corporate securities, offering financial advice and investment options with maximum benefit.
Remember that bulge bracket investment banking firms normally select the candidates from top business schools.
If you are not from these B-Schools, you don’t need to fret as there are other Mid-Cap and Boutique Firms where finance professionals are required to carry the same work as in the big firms and the entry into these firms is comparatively easier.
3. Private Equity and Venture Capital
Private equity firms arrange for investment in companies that are not publicly traded on any stock exchange.
Venture capital is a form of private equity where the capital is pooled by the investors and invested in companies.
Apart from investments, venture capital and private equities deal in restructurings, managed buyouts and other corporate business transactions.
Financial forecasting, company profiling and valuation is the main work in this area. And for such work, finance professionals are in demand.
4. Rating Companies
As per regulations, companies have to gain rating from rating companies. Many companies are getting ratings from such rating companies.
Companies like CRISIL, CARE, ICRA, Brickworks and Fitch have grown considerably in the last few years offering rating services and they will continue to grow in future too.
As a result, there is demand for finance and rating professionals. This is a great opportunity for finance professionals.
5. Financial Knowledge Process Outsourcing (KPO) Companies
Financial outsourcing companies like Evalueserve, SG Analytics, ValueNotes need people with skills like business analysis, financial analysis, risk analysis, report writing, MIS, Company profiling, financial modeling, valuation and MIS.
6. Hedge Funds
I have noticed that people perceive hedge funds as a kind of mystery.
Hedge funds are nothing but a copious management of private investment funds poured into financial products and assets.
A hedge fund typically requires portfolio managers, quantitative analysts, marketing manager, traders, financial analysts, regulatory compliance officers and others.
7. Corporate Finance
A corporate needs financial management to ensure smooth working of the company.
As such, people with financial background are required to fulfill different capacities.
From small start-ups to big organisations, a finance position is always available.
The incumbent acts as internal auditors, analysts, treasurers and more.
In this segment, you are expected to perform various responsibilities such as preparation of credit reports, analysis of financial instruments, forecasting profits and losses, prepare financial strategies, coordinate with external auditors, determine possible investment value in acquisitions, and actively contribute in mergers.
Investment Careers Jobs and Earning Possibilities
There are endless job opportunities available in the finance industry. Every company in every industry has a finance department and thus, there is an opening for you.
If you are a starter, campus placements are the best option.
If you are doing an internship and you show good performance, chances are higher of you being absorbed within the company after the internship is over.
If you have some years of experience and looking for better opportunities in another financial segment, all the options given above can steer you towards a diversified career in finance.
Pull out all stops, both online and offline, to get that coveted job.
You can follow online job sites like Monster.com and Naukri.com for better openings.
You can attend conferences and events to expand the network horizon.
Networking, as in any other career option, is essential for a rewarding career in finance.
Further, your salary package depends on education, skills, knowledge, experience and responsibilities within the organisation.
Really, there is no generic thumb rule which can be stated here.
However, know this, even if you are a starter in Investment careers, have an appropriate educational background and matching skill plus knowledge, you will land up with a plum salary package.
You should never fail to remember that a career in the finance industry is rewarding only if you have the skill sets and knowledge to perform the job, and a desire to keep learning to scale skills higher. If you are equipped with the skill sets, only sky is the limit for you!
I am sure that after reading this article, you were exposed to many investment careers available in the modern market.
If this has piqued your interest, click here to know the programs that will help you in establishing rewarding investment careers.