While many undergraduates may aspire to go into investment banking (IB), anyone who has friends or family in the industry in Singapore will realise how gruelling the hours and lifestyle can be.
Of course, for your time spent at work, you are handsomely rewarded in terms of remuneration and holding a prestigious career. As a global financial hub, Singapore’s investment banking industry is one of the most competitive and sought-after career paths within the financial services industry.
First off, what is investment banking? Singapore plays a critical role in the regional and global capital markets through mergers and acquisitions (M&A) as well as advisory services.
This usually involves extensive understanding of the regional financial regulations, long hours and plenty of Microsoft Excel skills. But, beyond that, it also means possessing a strong academic foundation, relevant work experience and exceptional technical and analytical skills. If a career in the field interests you, here’s a detailed road map to becoming an investment banker in Singapore.
Read Also: Roadmap To Becoming A SaaS Account Manager In Singapore
Understanding The Role And Industry Structure
The first step is to really understand the various facets of the investment banking industry. That’s because there are multiple teams that you can work within.
These can include various types of advisory or both equity and debt markets. Some of the most attractive roles are in front-office roles like sales and trading or within the corporate finance and M&A space as they are the most competitive, most client-facing and highest remunerated.
In terms of the key teams in investment banking, they are typically split into the following divisions:
- Corporate Finance/M&A Advisory
- Equity Capital Markets (ECM)
- Debt Capital Markets (DCM)
- Sales & Trading
- Research
Consider Additional Higher Education Qualifications
To really stand out as an investment banking candidate nowadays, your CV has to be impressive and an extra higher education qualification is one of the best ways to obtain this.
Typically a university (undergraduate) degree in Finance, Business, Engineering or Mathematics is the bare minimum while also pairing this with decent amount of work experience in Finance can help your cause.
Those looking for a more senior role or a career switch will find that pursuing an MBA or Master’s in Finance can be especially useful. While a CFA certification isn’t mandatory, it can strengthen your hiring profile for specific roles in capital markets-related roles in investment banking.
Read Also: CFTe VS CMT: Which Is The Best Technical Analysis Course In The Finance Industry In Singapore?
Develop Technical And Soft Skills
For anyone considering a career in investment banking, it goes without saying that you need to demonstrate strong financial modelling and valuation techniques. That involves being proficient in building financial models using Excel for things such as Discounted Cash Flow (DCF).
In addition, brushing up on your Microsoft Excel and PowerPoint skills is a must as you need to build these models and then present them efficiently and attractively – which is where PowerPoint comes into play.
Then there’s the importance of having strong written plus verbal communication skills – which can’t be underplayed. That’s because you’ll be expected to prepare client-facing materials as well as present them in a coherent and engaging manner.
Read Also: Salary Guide: How Much Does An Accountant In Singapore Earn?
Network Like Crazy
Finally, as with any role, networking is crucial and in investment banking it’s arguably even more important given the competitiveness of the industry.
By trying to get to know the right people and striking up a rapport with them, you’ll be able to make an invaluable first impression that could serve you well later. Direct outreach can be effective but there’s also the opportunity to attend career talks, networking events, and tapping your university alumni network.
One way is to use LinkedIn to connect with analysts and associates in the industry and try to grab as many informal coffees as you can with those working within the investment banking industry.
Read Also: Salary Guide: How Much Does An Investment Banker In Singapore Earn
Subscribe To The DollarsAndSense Business Pass
Enjoy what you are reading and want more? Join The DollarsAndSense Business Pass and unlock access to valuable tools, exclusive networking opportunities, and tap into the wisdom of industry experts to fuel your business expansion!
