So much more than just investment banking—where could the Master in Finance take you?

3 min read

It’s been a tough time in the finance sector recently. Recent job cuts in investment banking in particular have seen junior and managing director roles especially hard-hit, and Forbes have called this a landmark period for banking and finance, to be marked by changes and transformation. AI—like in many sectors—has become pivotal.

But it’s not just AI that’s impacting the finance world, of course; the current slowdown in the sector has a number of causes. Higher interest rates have made borrowing more expensive. Geopolitical tensions have caused volatility and uncertainty. Equity prices have dropped. And all of this in an era of increased regulatory scrutiny. What’s more, in a period when deal volumes are depressed, banks have over-hired in the last two to three years.

You would be forgiven for thinking that career prospects in the sector are bleak. But if you cast your eyes beyond investment banking and consider the wider professional opportunities that the finance world provides, there are still hugely positive prospects for careers in the industry—especially with the right training.

Trends to look for

It’s also clear that customer experience will be a critical driver in financial sector businesses’ success, with increased adoption of open banking giving both businesses and consumers greater control over the use of their personal data. All this, of course, will happen alongside increased levels of process automation, and blockchain technology featuring ever-more heavily in banking.

These and other developments provide not just hope for longer-term prospects in the sector, but a variety of roles in areas not typically associated with finance.

Thinking beyond investment banking

So, where could your professional pathway in the sector lie, if not in investment banking? Experts looking at the future of the industry for IE Talent & Careers have identified some careers that you might not have considered:

• Specialized boutique/regionalized companies may be better-insulated from the worst effects of a slowdown in investment banking, thanks to their ability to focus more narrowly on successful verticals.
• The services of companies focused on ESG compliance or sustainable financing will continue to be in high demand.
• Trading, quants and hedge funds all offer strong career prospects thanks to their high potential returns, with some types of hedge funds often outperforming the market during economic slowdowns.
• Distressed debt and structured debt services can be in great demand when economic conditions put companies in financial difficulty.
• Fintech may not be having a great time right now, but its critical importance to the sector is inevitable in the longer term.
• Peripheral finance is another area that has proved highly resilient, particularly in the insurance, consumer and pharma sectors.
• Restructuring and turnaround services, helping business transform, recover and create value, have performed very strongly even when other sectors have suffered recently.

Ensure your own professional future is bright

If you’re competing for that dream job, what will help you stand out? The Master in Finance opens doors in whichever sector you’ve got your eye on, by providing hands-on and practical experience with industry leaders and imparting the knowledge and skills to pursue your own path in the sphere.

A healthy network of global connections still helps enormously, too, so as well as getting to know top sector players by taking on real projects for them on the program, at IE Business School you can also count on the support and resources of IE Talent & Careers. They’ll help you discover the diverse career paths available by organizing events and activities with top recruiters, and support you on every step of your journey into what is still a hugely rewarding and dynamic sector. If you’re thinking about a career in the financial sector, check out our Master in Finance.