Become an Investment Banker in Canada in 7 Steps

Here’s how to become the best Investment Banker in this trending industry.

Canada’s finance industry is one of the most developed in the world, for the simple reason that Canada is a developed economy. With a good mix of new and old industries, plus urban and rural communities, Canada is the place to become and thrive as an Investment Banker.

The Investment Banking world has contributed greatly and significantly, to employment opportunities in Canada. This is because graduates and young professionals can easily start their employment experience in the investment industry.

But apart from creating regular employment opportunities, the industry is one of the highest paying sectors in the country. Additionally, there are opportunities for rapid growth, for an Investment Banker who works hard enough.

Would you want to be that Investment Banker? If yes, your journey begins here. Learn all there is to know about Investment Banking in Canada, the steps to becoming one of the best in the industry, and qualifications that will make you an outstanding player in Canada’s finance industry.

Who is an Investment Banker in Canada?

An Investment Banker is a person who advises corporations or governments, on matters of finance.

Buyers and sellers of companies or corporate sales, depend on his advice and experience in money matters. The Investment Banker operates from an angle of authority in financial matters and money-making ventures.

It is usual to get confused about what an Investment Banker actually does. Usually, he is seen as a bank worker or the money bag (investor).

But in truth, an Investment Banker often has a bank job somewhere in his repertoire of previous experience, and he is often the person who represents the investor.

Duties of an Investment Banker in Canada

The duties of an Investment Banker in Canada vary according to the corporation he represents. At one time he is seen as a negotiator, and at other times he can be an adviser or acquirer. Apart from the above, here are general roles assigned to Investment Bankers in Canada:

Researching and identifying investment opportunities

He identifies market opportunities and manages financial issues.

He carries out a lot of research so that he can be the first to unveil an opportunity where a client may require the support of his employer – the Investment Bank.

Research is a critical aspect of his job role because he looks for opportunities for companies to merge. He analyzes the value of such a merger, explaining to the parties involved, why it would be a good idea.

He further helps to draw up an agreement between both parties.

Reaching an agreement on deals that bring in revenue

When he identifies a potential investment opportunity, the Investment Banker in Canada coordinates the process of acquiring the investment and managing the risk involved.

His role as an Investment Banker comes to play when the organization needs to obtain funding in order to acquire the investment. Examples of such funding are corporate lending and the sale of shares.

Relationship Management

On one hand, the Investment Banker in Canada is responsible for maintaining a network of colleagues, senior executives, and experts in the field.

On the other hand, he strives to maintain a connection with other players in the field like research or finance analysts, bond or equity traders, salespersons, lawyers and accountants, and other people whose input matters in his profession.

Job prospects for an Investment Banker in Canada

Obviously, an investment Banker can work in a bank in Canada. But there are other industries where he can find his niche.

When a small company plans to go public by becoming a public liability company (PLC), it is an Investment Banker that works to make that happen.

An Investment Banker can also work in companies that plan to merge with other companies or acquire another or expand, and probably create another branch elsewhere.

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Become an Investment Banker in Canada in 7 steps

In order to join this powerful population of go-getters, here are a few steps to tick off your list to ensure you’re ready to be an outstanding Investment Banker in Canada:

Step #1. Get a formal education

There are various fields of study available to an Investment Banker in Canada. He can earn a degree or a diploma in Business, Accounting, Economics, Finance, or a related field.

Step #2. Build an impressive resume

Investment Banking is a competitive industry. You need every advantage you can get. Putting together an impressive resume is definitely an important step toward getting the job you need. With a degree in a relevant field, you may increase your potential as an Investment Banker.

Step #3. Apply for an internship

An internship is a hands-on learning experience that allows you to experience the world of Investment Banking, and gain valuable skills. You can participate in an internship program while at school. The good thing is that an internship is a good place to meet a potential employer and build a good work character for the future.

Step #4. Register with IIROC

As an Investment Banker in Canada, your first mark of competency is the IIROC approval.

The Investment Industry Regulatory Organization of Canada (IIROC) is the regulatory body that governs the activities of Investment Bankers in Canada.

The requirements for registration with IIROC can be found on the organization’s website.

Step #5. Build your network

The 21st-century Investment Banker understands the role that networking plays in the industry. There are associations like the Canadian Bankers Association (CBA) which provide a common meeting ground for the players in the Canadian finance industry to mingle.

There are also social media platforms where you can meet experienced colleagues and stay informed about developments in the investment banking world.

Step #6. Pursue further learning

In order to grow in this profession, it is important to learn always. Nowadays, online courses are available at little or no cost, and it is important if you want to widen your horizon. As you learn more about Investment Banking, you become better at your job, and you have the opportunity to grow. Who knows, if you keep at it, you could be the Chief Financial Officer or Director of Finance for your organization. There is no end to the possibilities.

Step #7. Gain relevant skills

There are skills that you should pick up along the way, as you prepare to be the best Investment Banker in Canada. They are must-haves in the industry, and equally as important as formal education:

Relationship Management skills. This is important as you prepare to manage both human beings and assets. This skill will ensure that you build and sustain relationships with your clients and professional colleagues.

Analytical skills. Being able to analyze trends and outputs, as well as financial data, is a positive skill for any Investment Banker in Canada. This includes the ability to put this data into reports that can be understood.

Team spirit. In an industry where collaboration within an organization yields desirable results, team spirit is key. The Investment Banker needs to share information with key players in order to produce results.

Knowledge of regulations and procedures guiding the investment industry. There is no excuse for ignorance. An Investment Banker should be aware of the rules and regulations of the finance industry, especially since he handles major deals.

Critical thinking skills. An Investment Banker is a problem-solver. It is his duty to get a company out of financial trouble and put them on the road to financial freedom. To do this, he should constantly think of how to improve the business.

Good communication skills. He should be able to listen to other people, answer their questions and consider their opinions.

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Frequently Asked Questions

Is Investment Banking a good career in Canada?

Canada is a fertile ground for businesses of all kinds, given the influx of business immigrants and the natural resources for which the country is known. Investment Banking identifies new opportunities for entrepreneurs and corporations hoping to expand or acquire other businesses. It is the Investment Banker’s job to identify such opportunities and suggest mergers.

Are there special certifications for the job of Investment Banker in Canada?

The Investment Industry Regulatory Organization of Canada is the official certification organization in the country. Membership requirements of the organization are available on the website.

What is the best city in Canada to become an Investment Banker?

Consider Toronto. This is because it is the largest city in Canada, as well as the financial capital of this country. Toronto draws major investment banks and most of them have their headquarters there.

As a result, if you are looking for a place to network as an Investment Banker in Canada, Toronto would be your first option.

How much does an Investment Banker in Canada earn?

The average salary of an Investment Banker in Canada is $150,000 annually, and $76.92 hourly.

Is there any career growth in Investment Banking?

The entry-level position for Investment Bankers is Investment Analyst. This is the position where they research potential clients and market trends which the Investment Banker will take advantage of.

The next step is the Investment Banker. Here, the focus is on business development. Based on the Investment Analyst’s research, he acquires clients and advises existing clients on new opportunities. He also executes business activities like mergers and acquisitions, on behalf of the client.

Conclusion

Being an Investment Banker in Canada requires a lot of hard work and dedication, with more than the usual work hours. However, the satisfaction of closing a good deal, and the financial gratification that follows, is worth it all. Canada offers endless opportunities to the Investment Banker who wants to thrive. Take that first step today. Become an Investment Banker in Canada.