How challenging is it to secure a job in investment banking in Toronto or any six-figure position right out of school?
I attended the University of Toronto, not in the Rotman program, but I took similar courses as an Economics major in the Arts faculty. Currently, I’m working in Accounting. While I wasn’t a standout student and don’t have strong career ambitions, I find it interesting to note that many of my former college acquaintances have landed successful roles.
It seems that the “worst” outcome for them was starting at a Big 4 Accounting firm, with most transitioning into capital markets and investment banking at the major banks. I’m curious—how difficult is it to break into those positions? It appears to be quite common for the domestic students I knew. However, I only interacted with a small group, which might skew the perception. Do they really only hire the absolute top candidates?
One response
Landing an offer in investment banking, especially in a competitive market like Toronto, can indeed be challenging, and your perceptions are not incorrect. While a University of Toronto degree, even outside of Rotman, is respectable, the recruitment process for firms—especially for top-tier positions—can be quite competitive. Here are a few things to consider regarding your questions:
Academic Background: While going to U of T is a strong foundation, candidates in investment banking typically come from top-tier programs and often have high GPAs. Firms also tend to prefer candidates with a strong quantitative background, which is why Economics majors sometimes find it easier if they excelled in relevant coursework.
Recruitment Process: Investment banking heavily recruits for internships, especially during the junior year of university. These internships often serve as the main pipeline for full-time offers. Many candidates have already participated in finance or banking-related internships, which puts them ahead in terms of experience.
Network and Connections: Networking plays a crucial role in landing a position in investment banking. Many successful candidates often utilize connections from their universities, internships, and other professional experiences to secure interviews.
Skills and Experience: Hard skills (like financial modeling and valuation) and soft skills (like communication and teamwork) are critical. Building these skills through either internships or self-learning can significantly enhance your chances.
Sample Bias: As you mentioned, your social circle might not represent the larger picture. Successful candidates can give the impression that it’s the norm, but many others might not have followed that path.
Career Motivation: You mentioned you don’t care too much about your career, which might affect your commitment to pursuing such paths. Investment banking often demands long hours and high levels of stress, so passion and drive can be significant factors in whether someone thrives in that environment.
In summary, while landing a job in investment banking isn’t impossible, it typically requires strong academic performance, relevant experience, and a lot of networking. If you’re genuinely curious about it, consider exploring opportunities to build connections or gain related experience, even if you decide it’s not the direction you want to pursue.