Portfolio Management: Careers in Investing

Each year, thousands of college students across the country graduate with a degree in business. Many of these graduates are looking for careers in investing. Before the market crash in late 2008, jobs in finance were considered to be lucrative, well-paying, and relatively stable. The economic downturn has somewhat altered the look of the career path. Jobs are no longer as numerous as before and the once impressive bonuses are being cut, especially by larger firms. Still, contrary to popular belief, it is still very possible to get start a career in investing, particularly at entry level.

Careers in investing, specifically in investment banking, can be rewarding, yet also incredibly demanding. Investment banking is one popular career path pursued by many business grads. The lure of huge paychecks and a glamorous fast-paced lifestyle attracts many qualified candidates and competition for these jobs can be fierce. One of the best ways to secure a position out of school is to intern for a large investment banking firm before graduation. Networking is also important when attempting to secure a career in finance. Because the world of finance is relatively small, who you know can open many doors.

Most enter the field as analysts for large investment banking firms. The relatively high salaries are often coupled with demanding work days and long hours. It is not uncommon for low-level analysts to work 70+ hours per week. Definitely not for the faint of heart, careers in investing require very driven, intelligent, and confident individuals. As an entry level hire, expect to do most of the firm’s grunt work, and be willing to work late into the night and on weekends. Additionally, almost all investment banking jobs are in New York City, the site of Wall Street, and any college graduate looking to begin their career in investing at one of the industry’s biggest firms must be willing to relocate to the city.

After working for a few years as an analyst, the next step for many is to return to school to receive a MBA. After returning to the banking industry, it is common to re-enter the field at an associate level or even vice president. Although work becomes much for stimulating, it also carries a much higher degree of responsibility. Of course, paychecks grow substantially at this level, continuing the competitive atmosphere as many qualified applicants are attracted to the industry.