Investment banking is a field which is concerned with raising money for organisations and government. Investment bankers are financial advisors that help entities, wealthy business men about improving their income do so by selling and trading of securities and providing research work.
Every investment bank has several segments and levels of work, depending upon which the duties are divided. This means that there is a pyramid system, in which the most important levels of work are at the top while at the bottom are the entry level positions. The following given detailed hierarchy structure will help you understand this better.
The position of a managing director is the topmost investment banking position in any investment bank and is the position where one is required to make all the important decisions about the organisation. The MD of any investment bank is the one responsible for winning clients and making strategies to develop relations.
After the position of a managing director is the post of the Director. The Director concentrates on the execution tasks and project management related works and reports to the managing director. He/she also supervises all the subordinate managers and bankers and is responsible for bringing in the best clientele.
A vice president of an investment bank is the one who implements the strategies devised by the managing director and the director. He/she must be experienced in the field of investment banking and should be able to take decisions for the benefit of the bank. This is another top position in the pyramid.
Associates are those employees of an investment banking company who monitor the work of analysts and work as per the instructions of the vice president of the bank. They are the ones who get in direct touch with the clients and understand the client’s requirements and needs. These individuals are promoted from the position of analysts and have a chance to become VP after a few years of experience at this level.
Analysts are placed at the bottom of the pyramid of hierarchy of an investment bank and are the ones who are instructed by the associates. Analysts perform computer based tasks associated with analysis of financial records of clients and help them to find the best possible financial deals. The job of an analyst is basically an entry level job which requires fresh graduates or post graduates.