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The differences between investment bankers and investment associates can be seen in a few details. Each job has different responsibilities and duties. It typically takes 2-4 years to become both an investment banker and an investment associate. Additionally, an investment banker has an average salary of $162,715, which is higher than the $127,205 average annual salary of an investment associate.
The top three skills for an investment banker include financial services, discounted cash flow and capital markets. The most important skills for an investment associate are powerpoint, customer service, and client service.
| Investment Banker | Investment Associate | |
| Yearly salary | $162,715 | $127,205 |
| Hourly rate | $78.23 | $61.16 |
| Growth rate | 10% | 9% |
| Number of jobs | 28,460 | 39,012 |
| Job satisfaction | - | - |
| Most common degree | Bachelor's Degree, 69% | Bachelor's Degree, 79% |
| Average age | 43 | 40 |
| Years of experience | 4 | 4 |
An investment banker is responsible for selling and issuing securities and financial assets to the stock markets to generate money and raise capital for organizations and financial institutions. Investment bankers also work with private clients to advise them of investment options and financial transactions according to the market's condition and clients' interests. They handle the clients' investment portfolios and create propositions for acquisitions and company mergers. An investment banker must have excellent knowledge of the financial and stock industry, as well as having excellent analytical skills to review statistical data and determine the best financial strategies.
An investment associate's primary role is to review a company's financial data, recommend investment strategies, oversee the distribution of stocks, and calculate possible risks for business mergers. They also serve as a mediator during agreements between companies during takeovers, monitors stock inventory, sell stocks, and details all financial transactions. In the course of these responsibilities, an investment associate provides administrative support and timely response to client requests as needed, acting as an additional point of communication for clients.
Investment bankers and investment associates have different pay scales, as shown below.
| Investment Banker | Investment Associate | |
| Average salary | $162,715 | $127,205 |
| Salary range | Between $95,000 And $276,000 | Between $72,000 And $222,000 |
| Highest paying City | Boston, MA | San Francisco, CA |
| Highest paying state | Alaska | California |
| Best paying company | Citi | Brookfield Properties |
| Best paying industry | Real Estate | Technology |
There are a few differences between an investment banker and an investment associate in terms of educational background:
| Investment Banker | Investment Associate | |
| Most common degree | Bachelor's Degree, 69% | Bachelor's Degree, 79% |
| Most common major | Business | Finance |
| Most common college | University of Pennsylvania | University of Pennsylvania |
Here are the differences between investment bankers' and investment associates' demographics:
| Investment Banker | Investment Associate | |
| Average age | 43 | 40 |
| Gender ratio | Male, 76.2% Female, 23.8% | Male, 60.2% Female, 39.8% |
| Race ratio | Black or African American, 5.5% Unknown, 4.1% Hispanic or Latino, 11.5% Asian, 12.4% White, 66.2% American Indian and Alaska Native, 0.2% | Black or African American, 5.6% Unknown, 4.5% Hispanic or Latino, 7.7% Asian, 14.1% White, 68.0% American Indian and Alaska Native, 0.1% |
| LGBT Percentage | 6% | 7% |