SHOCKING: Investment Banks Prefer THIS Degree during MBA Placements | CA vs CFA

Summary

This video discusses the ideal qualifications for a career in investment banking post-MBA, particularly for top B-schools in India and global banks. It emphasizes the importance of prior work experience in investment banking, academic achievements, professional certifications like CFA or CA, and strong soft skills. The video reveals a preference for science graduates, especially BTech from IITs, and suggests that completing CFA Level 2 is a significant advantage. It also advises commerce students and non-engineers to gain relevant work experience and develop soft skills to enhance their chances of securing a position in investment banking.

Takeaways

• 🏫 The advice is primarily for top B-schools in India like IIM Ahmedabad, Bangalore, and Calcutta.
• 🏦 It's tailored for top-tier investment banking (IB) companies, not boutique firms.
• 💼 Prior work experience in investment banking-related roles can significantly boost your chances.
• 📈 A 'spike' in your CV, such as exceptional academic achievements, is highly valued.
• 📚 Having CA/CFA Level 2 certification can improve your shortlisting prospects.
• 🗣️ Soft skills are crucial and often overlooked; they can determine your success in placements.
• 🧑‍💻 Science students, particularly engineers, are often preferred over commerce students by global banks.
• 🎓 For engineers, especially from IITs, completing CFA Level 2 along with a good academic record is a strong combination.
• 📈 Commerce students or non-engineers should aim for relevant work experience and consider CA/CFA certifications.
• 💼 To stand out, develop soft skills and ensure a strong academic record, especially for summer placements.

Q & A

What are the top B-schools in India considered relevant for investment banking?

The top B-schools in India considered relevant for investment banking are IIM Ahmedabad, Bangalore, and Calcutta.

What are the main criteria for shortlisting candidates for investment banking roles during summer placements at B-schools?

The main criteria for shortlisting candidates for investment banking roles include prior work experience, a spike in the CV, professional certifications like CA/CFA Level 2, and soft skills.

What kind of prior work experience is considered beneficial for investment banking roles?

Prior work experience in backend supporting roles such as analyst or research roles in companies like Bain & Co, JP Morgan, or Avendus, or in boutique IB firms, is considered beneficial.

What is meant by a 'spike' in the context of a CV for investment banking?

A 'spike' in the CV refers to any extraordinary academic achievement, such as a high CGPA, college ranking, CA rank, or a high JEE rank, that distinguishes the candidate from others.

Why are science students preferred over commerce students for investment banking roles?

Science students, particularly engineers, are preferred by global banks for investment banking roles due to their strong analytical and problem-solving skills.

What is the significance of being a CFA Level 2 candidate for investment banking roles?

Being a CFA Level 2 candidate increases the chances of being shortlisted for investment banking roles as it demonstrates a strong understanding of finance and investment principles.

How important are soft skills in the investment banking selection process?

Soft skills are crucial in the investment banking selection process as they include presentation skills, communication, and confidence, which are key in interviews and client interactions.

What is the recommended combination of qualifications for an IIT BTech student aiming for investment banking?

For an IIT BTech student aiming for investment banking, the recommended combination is completing the CFA Level 2 to complement their technical background with a strong finance qualification.

Why is relevant work experience essential for non-engineer or non-IIT students targeting investment banking?

Relevant work experience is essential for non-engineer or non-IIT students as it helps compensate for the preference given to engineers and provides practical knowledge that is valued in the investment banking field.

What advice is given to CA students who are targeting investment banking roles?

CA students targeting investment banking roles should focus on developing soft skills and consider obtaining relevant work experience to increase their chances of being shortlisted.

What is the minimum work experience recommended for commerce students or those not from an IIT before pursuing an MBA for investment banking?

A minimum of 2 years of relevant work experience is recommended for commerce students or those not from an IIT before pursuing an MBA for investment banking roles.