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What does an Investment Banking Analyst do?

Learn all about Investment Banking Analyst duties, skills and much more. Get expert advice on how to become an Investment Banking Analyst.

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Brenna Goyette
Certified Professional Resume Writer, Career Expert

Published 3 min read

An investment banking analyst is responsible for providing financial analysis and support to investment bankers. They may also be involved in the underwriting of new securities issues and the placement of those securities with investors.

Investment Banking Analyst job duties include:

  • Conduct comparative analysis of companies within the same industry
  • Develop detailed financial models to support investment decisions
  • Analyze historical financial data to identify trends and forecast future performance
  • Prepare presentations for internal and external audiences
  • Assist in the preparation of due diligence materials
  • Support the origination and execution of transactions
  • Monitor portfolio companies post-investment
  • Identify and assess new business opportunities
  • Stay up to date on industry news and developments

Investment Banking Analyst Job Requirements

An Investment Banking Analyst is typically a college graduate with a degree in business, finance, accounting, or economics. Certification is not required, but many analysts choose to pursue the Chartered Financial Analyst (CFA) designation. Experience is not required for entry-level positions, but most analysts have 1-2 years of experience in the financial industry prior to being hired by an investment bank.

Investment Banking Analyst Skills

  • Analytical
  • Profit and loss analysis
  • Financial analysis
  • Finance
  • Asset management
  • Real estate
  • Budgeting
  • Cost control
  • Financial forecasting
  • Financial modeling
  • Business strategy
  • Investment banking

Related: Top Investment Banking Analyst Skills: Definition and Examples

How to become an Investment Banking Analyst

The investment banking analyst is the entry-level position at an investment bank. Investment banks are the institutions that underwrite, or help to finance, new debt and equity offerings for companies. They also provide advice on mergers, acquisitions, and other corporate finance transactions.

The investment banking analyst position is a stepping stone to becoming an investment banker. Investment bankers are the people who work with companies on these transactions. They typically have more responsibility and earn more money than analysts.

To become an investment banking analyst, you need to have a bachelor’s degree from a top college or university. You also need to have strong grades, especially in math and economics courses. It is helpful if you have interned at an investment bank or have other relevant work experience.

Once you have your degree and experience, you will need to pass several exams, including the Series 7 and Series 63 exams. These exams are administered by the Financial Industry Regulatory Authority (FINRA). After passing these exams, you will be able to apply for jobs as an investment banking analyst.

Related: Investment Banking Analyst Resume Example

Related: Investment Banking Analyst Interview Questions (With Example Answers)