It’s an investment banker’s job to keep their finger on the pulse of the financial markets and help organize large financial transactions.
Hours of research by our editors, distilled into minutes of clarity.
Working up to 120 hours a week, investment bankers help major corporations navigate IPOs, mergers, and more. Despite long hours and a high-pressure environment, investment banking remains a critical industry that shapes the global financial landscape.
Investment bankers do this in a multitude of ways, such as selling securities, or acquiring other companies.
At some point in their careers, many investment bankers work on facilitating or advising clients on mergers or acquisitions. From analyzing industry group trends to deal negotiations, an M&A in investment banking explainer outlines how investment bankers handle these business transactions.
In 1933, the Glass-Steagall Act legally separated commercial banks in the US from investment banks. However, by 1999, the act was repealed—meaning that today’s investment banks are no longer required to be separate from the type of bank where you deposit your paycheck.
During the book-building process, bankers determine an IPO’s price per share, requesting bids from fund managers and other institutional investors for the number of shares they want and how much they’d be willing to pay for them.
These tables provide a visual to help keep track of the leading companies in investment banking. Companies such as JPMorgan and Goldman Sachs typically sit up top.
Back in 2012, a University of Southern California researcher published a decade-long study in which she observed investment bankers’ health. The results weren’t exactly stellar. Every individual the researcher observed developed a stress-related physical or emotional ailment within several years of working in investment banking.
These days, a first-year analyst typically makes closer to $100K per year as their base salary, but is eligible to receive significant bonuses on top of that.
Intern Moritz Erhardt died of epilepsy in 2013, after working through nights, and associate Leo Lukenas III died in 2024, from a blood clot after working more than 100 hours per week.
Investment bankers organize large financial transactions at a high level. But what does that look like day to day? A video breaks down the specifics about the transactions and deals investment bankers work on, and which members of an investment banking team have eyes on each project.
The United States is home to more than 33 million businesses, the vast majority of which are small businesses, with millions being created (and others closing shop) every year. These businesses often rely on loans, provide the goods and services that keep the economy flowing, and sometimes even grow large enough to enter public markets or provide private investment opportunities. Explore key topics central to business and finance, from the role of the Federal Reserve to how initial public offerings work, how millions of American students finance higher education, and more.