The keystone of an investment banker
Thursday, 31 December 2009
Javed bin Kamal
INVESTMENT banking as a career is highly attractive. Joining investment banking after completing an MBA has a long-term effect on the career of a young graduate. The probability of his staying in investment banking is significantly higher than for a graduate who started his or her career in another business (consulting, entrepreneur, retail bank manager, etc.).
Some people have a natural talent for investment banking. One also becomes an investment banker through experience. Good market conditions encourage students to take more finance courses while they're at universities or business schools and then to start their career in investment banking. When share prices perform well, students, who do not necessarily have a particular interest in or talent for finance, are often attracted by the lure of money (investment bankers' earnings are far higher than the average earnings in other sectors during such periods).
Students take finance courses in large numbers when market conditions are favourable. Initial choices made by students have long-term consequences on their careers, and these choices are influenced more by the economic situation at the time they are made than by any innate qualities.
Though Bangladesh does not have a long history of investment banking, it has got a moderate structure of investment banking industry: IDlC Finance Ltd, NBFI's like GSP Finance, Equity Partners Limited, Citi Global, LR Global, Asian Tiger Capital, NDB of Sri Lanka and ICB. Besides, many banks have merchant (investment) banking license.
How attractive is investment banking as a career in Bangladesh? Arif Khan, DMD of IDLC Finance Ltd, said recently at a discussion that the starting salary in the industry of investment banking is BDT 25000. He added that the prospect of career-building is bright in investment banking as there is a huge shortage of technical people in the industry. According to him, one need not be a CFA charter holder to perform well as a investment banker; what is really important is the person's attitude towards the job. Arif Khan said in a TV talk-show that students graduating in subjects such as accounting, finance, marketing and banking are expected to get job in investment banking sector.
The writer is a student in the Department of Finance, Dhaka University
INVESTMENT banking as a career is highly attractive. Joining investment banking after completing an MBA has a long-term effect on the career of a young graduate. The probability of his staying in investment banking is significantly higher than for a graduate who started his or her career in another business (consulting, entrepreneur, retail bank manager, etc.).
Some people have a natural talent for investment banking. One also becomes an investment banker through experience. Good market conditions encourage students to take more finance courses while they're at universities or business schools and then to start their career in investment banking. When share prices perform well, students, who do not necessarily have a particular interest in or talent for finance, are often attracted by the lure of money (investment bankers' earnings are far higher than the average earnings in other sectors during such periods).
Students take finance courses in large numbers when market conditions are favourable. Initial choices made by students have long-term consequences on their careers, and these choices are influenced more by the economic situation at the time they are made than by any innate qualities.
Though Bangladesh does not have a long history of investment banking, it has got a moderate structure of investment banking industry: IDlC Finance Ltd, NBFI's like GSP Finance, Equity Partners Limited, Citi Global, LR Global, Asian Tiger Capital, NDB of Sri Lanka and ICB. Besides, many banks have merchant (investment) banking license.
How attractive is investment banking as a career in Bangladesh? Arif Khan, DMD of IDLC Finance Ltd, said recently at a discussion that the starting salary in the industry of investment banking is BDT 25000. He added that the prospect of career-building is bright in investment banking as there is a huge shortage of technical people in the industry. According to him, one need not be a CFA charter holder to perform well as a investment banker; what is really important is the person's attitude towards the job. Arif Khan said in a TV talk-show that students graduating in subjects such as accounting, finance, marketing and banking are expected to get job in investment banking sector.
The writer is a student in the Department of Finance, Dhaka University