IBanking specializes in providing advisory based financial solutions to individuals, corporations, and governments. It engages in financial transactions, helps in raising financial capital, assists in mergers and acquisitions. IBanking doesn’t involve taking any deposits, unlike commercial and retail banks. iBanking is a well-paying job that demands a lot of planning and hard work.
IBanking uses a network of investors that trust the iBanker to bring him quality deals. Hiring a good investment banker can be one of the smartest decisions an entrepreneur can make. An iBanker works as a part of a financial institution and helps raise capital. Owing to their job profile they are the highest paid professionals for their age.
On a per hour basis, investment bankers are not paid nearly as well. With most analysts and associate working over 100 hours per week, their hourly wages can range between $25-$35 per hour. Investment banking professionals are paid based on two components of compensation: salary and bonus. The bonus is a large part of a banker’s total income across all positions, but especially at the more senior levels, where a bonus can be several times the base investment banker salary.
Starting salaries for investment banking positions with a bachelors degree (assistant or junior analyst position) should range from $100,000 to $150,000 after bonus. Starting salaries with an MBA degree (associate position) range after bonus from $120,000 to $220,000. These salaries vary with firms and with the region of the country you are in.
Analyst – First Year: $70k – $150k
Analyst – Third Year: $120K – $350K
Associate – First Year: $150K – $350K
Associate – Third Year: $250K – $500K
Vice President: $350K – $1.5MM
Managing Director/Partner: $500K – $20MM+
These are approximate iBanking salary’s that are offered as you start out as an analyst and move on to senior positions. From analysts to managing directors, the pay is traditionally heavily weighted toward the investment banking bonus portion of the compensation, which is part of the reason for such long hours.