Investment Analyst Career Guide and Counseling

Question: What is the difference between an Investment Analyst and a Research Analyst? What is the difference between an Investment Analyst and a Research Analyst?

Answer: It depends, there can be no difference at all. Different firms sometimes use different terms.

Question: How much bonus does an investment banking analyst make ? I intend to go into finance/investment banking (after i graduate and hopefully the economy recovers) . How much salary+ bonus would a NEW investment banking analyst make at an i-bank such as goldman sachs or jp morgan. also, i intend to get a Masters in financial engineering after i graduate from college.....is it even worth it? will it give me a better shot at a higher position at an investment bank or will i have to start at the same level as college graduates?

Answer: At that level, the bonus is not significant. To make the big dollars, you need to become a banker with close ties (i.e., give a lot of money) to the President, the Speaker, and various other corrupt politicians.

Question: I am an investment analyst and I want to join a Private Equity firm. What skills do I need? How do I join one? I have 6 years experience in financial modeling and financial analysis. What are the specific activities of a Private Equity firm? How do I round-up some investors who will put their money in the firm for investment? What are the day-to-day activities? What skills do I need? Thanks for your insights!

Answer: Check with the Securities and Exchange Commission for the legal requirements. In terms of skills, your investment knowledge and commercial operations on specific industries will be a definite plus. Not only should you be involved in strategic planning, but you should also understand how the company operates on a technical level. Try to understand industry trends and valuations, because that is what you will do on a daily basis.

Question: How do I become an Investment Analyst? Do I need a degree in something specific, also I have heard that you are trained through a firm, can someone confirm this and give me as much detailed information on how to become an analyst. I would appreciate any specific information to be for the United Kingdom whereas general information can be for any region. Thank you for reading this.

Answer: This information applies to a resident in just about any developed country: You should obtain a degree in either economics or accounting. Then follow this up with an MSc in Finance, or Financial Engineering or Finance and Economics. The Masters in Finance is an ideal preparation for careers in finance, financial management or higher education. The programme provides specialist study in financial markets, investments, financial instruments and risk management. http://www.lums.lancs.ac.uk/masters/pgfi… An example of what these courses cover can be found here: http://www.mbs.ac.uk/specialist/Landing_… While you will get your hands-on experience in a firm, you will be best prepared for such positions by first obtaining a BSc or BA in Economics or Accounting, and then follow it up with an MSc of the types listed above. Good luck in your career. The world of finance and investment is a fascinating one. Hope this helps!

Question: What is the average undergrad GPA for an investment banking analyst? Hi! I am interested into getting into the investment banking field after I graduate and have been told that having a solid GPA is important. I was wondering if anyone knows approx. what the average GPA for an analyst is? Thanks

Answer: I myself actually just got an i-banking job and I interviewed with about 10 different banks. A 3.5 on a 4.0 scale is usually the minimum GPA to get an interview, although a few firms will allow you to interview with only a 3.3. In general, the average undergrad GPA for an analyst is 3.5-4.0.

Question: How can I get started as an independent investment analyst covering companies in advertising industry? I have academic background in finance and tons of real-life experience in online media (online campaigns, etc.). Where do I begin to become an independent equity analyst covering companies in advertising space (online and offline)?

Answer: Advertise yourself as an independent investment analyst; I don't think that is a technical term which requires a license. You will win or lose according to how good your advice is.

Question: Investment Analyst (read the extra detail thank you =D God Bless)? im a 15 year old planning to become an investment analyst but everything i read about the job is too complex as they use the bankers style of words. i was hoping someone or a group of people would tell me everything i need to know about an investment analyst. if one of you are an investment analyst maybe you could tell me your day to day life on the job... salary(not exact figure but a close enough) literally everything i need to know about becoming an investment analyst would help words asosiating with investment analysts also thank you very much for your help

Answer: I think it is great that you are thinking about your future now. To become an analyst, you will need to go to a good college. Pref a top 10, top 20 school if poss. Best: Harvard Yale University of Pennsylvania (Wharton Business School) MIT NYU USC Stanford You want to major in finance (corporate finance), economics or similar. You will want no less than an MBA. A Ph.D. in finance is a plus but not mandatory. Wall Street is impressed with numbers, and expertise. You need to get top grades. 3.45 or better. The better school and grades means better odds to get with a top firm and earn top dollars. It also would be a plus to have a law degree in this business: Securities law, business law, tax law for example will open more doors. Try to get an internship during your summers now. This builds a track record that you have been around the firms on some level. You will eventually need to get your CFA. You can get this on the job, or on your own. http://www.cfainstitute.org/cfaprog/ You don't have to go to these schools or have top grades but it is less likely statically speaking that one won't earn top dollars unless you have your own business and make it. The top Wall Street firms (which will be virtually all banks now), hire the from the top schools first. You can get a job at a lower ranked school, but again, it will be for less pay. The hours are brutal, and require a serious commitment. Try 50-70 hrs a week for the first 3+ years. I worked 80+ hrs a week when I was in this business for the first 2-3 years. You should love numbers, analyzing, predicting, strategy, and forecasting. Be serious about school. Think like an achiever; Act like an achiever, and so you will be. Good Luck!

Question: What do you have to be good at to become an investment analyst? How good with math do you need to be? And if your not good with it is there a way to still be in the profession?

Answer: I am not certain that I know the answer to this question. There are far more lousy investment analysts than there are good analysts. You do not necessarily have to be a whiz at math, but you certainly do have to have mastered the basics. Being able to read and understand a balance sheet and income statement are among the top requirements. That requires an understanding of some of the basic principles of accounting. I think that the really good analysts are the ones able to understand economic trends and their ramifications. It appears that that is something that the high paid analysts at Bear Stearns, Leman Brothers, Merril Lynch, Citigroup, and UBS were unable to do. I may be selling them short however. Their analyses may have been overridden by the greed of their CEOs.

Question: How can I start to be an investment analyst? What are the qualification?

Answer: 1. If you can, move to a city like New York or Boston with a high concentration of money management firms. 2. If you're in college (or getting ready to attend college), get your degree in Finance, and get as many summer internships as you can with investment firms (these are in high demand, so there's a good chance you'll have to work for free). This way, when you graduate, you have some experience under your belt. 3. Once you've graduated, try to find work with an investment firm as an assistant analyst. If you can do this, you're in great shape. However, the field is extremely competitive, so you may need a few years of stock broker experience (for which you'll need your Series 7 license) before you get hired. Also, you may want to get an MBA from a solid business school to give you an edge. 4. Ultimately, you'll need to get your CFA (Chartered Financial Analyst) designation, which is a bear (it makes the Series 7 look like a cake walk). You have to pass three levels of exams, prove that you have industry experience, and get referrals from current CFA's. It is a very competitive field, and it will not be easy. But if you know that going in, and you're willing to put in the work, it can be highly rewarding - both financially and in job satisfaction. I wish you the best of luck!

Question: How do you start out becoming an Investment Analyst? I have a Bachelor of Science Degree in Business Administration and I enjoy working with computers?

Answer: Join an investment management company as an entry-level stock analyst, they usually hire new college graduates. Getting a CFA designation is also a strong plus in addition to the bachelor's degree (CFA stands for Chartered Financial Analyst), or getting a Master's degree in Finance is good too.