An investment banking financial advisor is a hybrid position, which enables you to sell securities and bonds and advise clients on their financial investments. If you sell to corporate clients, you may also assist them with selling stock shares and initiating mergers and acquisitions. If you want to work in this field, you need a master's degree. In return, you can expect to earn a salary averaging more than $100,000 annually.
Salary and Qualifications
The average annual salary for an investment banking financial advisor was $102,000 as of 2013, according to the job site Indeed. To work in this field, you need a master's degree in business, finance, accounting or economics. You also need to pass the series 66 exam, which qualifies you as both an investment advisor and securities sales agent, according to the Financial Industry Regulatory Authority. Many employers prefer that their investment banking financial advisors have experience in investment banking and financial planning -- four or more years of experience, for example. Other essential qualifications for the job include an attention to detail and analytical, communication, math, selling, presentation, decision-making and customer service skills.
In 2013, average annual salaries for investment banking financial advisors varied the most within the West region, according to Indeed, where they earned the lowest salaries, $66,000, in Hawaii and highest, $109,000, in California. Those in the South made $87,000 to $121,000 per year in Louisiana and Washington, D.C., respectively. If you worked as an investment banking financial advisor in Maine or New York, you'd earn $87,000 or $123,000, respectively, which were the lowest and highest earnings in the Northeast. In the Midwest, you'd make the least in Nebraska or South Dakota or most in Illinois -- $75,000 or $111,000, respectively.
An investment banking financial advisor earns more in New York and Washington, D.C., because of higher living and housing costs in this state and district. For example, if you earned $100,000 as an investment banking financial advisor in Portland, Maine, you'd need to make $203,690 in New York City to enjoy the same living standard, according to the CNN Money's "Cost of Living" calculator. In Washington, D.C., you'd have to make $130,297 to maintain your living standard, or approximately 30 percent more. These financial professionals also likely earn more at larger banks or financial institutions, which have the financial resources to support their higher salaries. Those who are self-employed can earn more by acquiring more clients.
The BLS doesn't forecast jobs for investment banking financial advisors. It projects a 32 percent increase in employment for personal financial advisors from 2010 to 2012, which is much faster than average. Population increases among baby boomers and those closer to retirement may increase jobs for investment banking financial advisors. On the corporate side, the financial crisis of the 21st century has led to increased regulations within the industry, which should also positively impact those who are interested in this career. You can expect stiff competition for jobs, which is why you should consider becoming certified as a Chartered Financial Analyst through the CFA Institute. This certification enables you to sell most securities and financial products.
- U.S. Bureau of Labor Statistics: Occupational Outlook Handbook: What Personal Financial Advisors Do
- U.S. Bureau of Labor Statistics: Occupational Outlook Handbook: How to Become a Personal Financial Advisors Do
- U.S. Bureau of Labor Statistics: Personal Financial Advisors: Job Outlook
- Financial Industry Regulator Authority:
- Indeed: Investment Banking Financial Advisor Salary
- CNN Money: Cost of Living: How far Will My Salary Go In Another City?
- Indeed: Investment Banking Financial Advisor Salary in Maine, and New York
- Indeed: Investment Banking Financial Advisor Salary in Hawaii, and California
- Indeed: Investment Banking Financial Advisor Salary in Louisiana, and Washington, DC
- Indeed: Investment Banking Financial Advisor Salary in South Dakota, Nebraska, and Illinois
- U.S. Bureau of Labor Statistics: Occupational Outlook Handbook: How to Become a Securities, Commodities, or Financial Services Sales Agent
- The Princeton Review: Career: Investment Banker
- Blue Water Advisory: Wealth Management Portfolio Manager and Financial Advisor
- U.S. Bureau of Labor Statistics: Occupational Employment Statistics: Personal Financial Advisors
- The Certified Financial Board of Standards: Financial Planner Certification Information
- CFA Institute: Information on Becoming a Chartered Financial Analyst
- Keith Brofsky/Photodisc/Getty Images