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Investment banking associate vs equity analyst

The differences between investment banking associates and equity analysts 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 banking associate and an equity analyst. Additionally, an investment banking associate has an average salary of $119,967, which is higher than the $103,715 average annual salary of an equity analyst.

The top three skills for an investment banking associate include capital markets, healthcare and discounted cash flow. The most important skills for an equity analyst are financial models, equities, and discounted cash flow.

Investment banking associate vs equity analyst overview

Investment Banking AssociateEquity Analyst
Yearly salary$119,967$103,715
Hourly rate$57.68$49.86
Growth rate9%9%
Number of jobs39,51651,437
Job satisfaction--
Most common degreeBachelor's Degree, 66%Bachelor's Degree, 74%
Average age4040
Years of experience44

What does an investment banking associate do?

An investment banking associate is in charge of performing support tasks for clients, ensuring efficiency and client satisfaction. They are primarily responsible for identifying and meeting clients' needs, assisting them in reaching their financial goals. They typically determine investment opportunities for clients, putting financial histories and records into consideration. They must thoroughly discuss terms, helping clients gain a deep understanding of the subject while building positive relationships. Furthermore, an investment banking associate may perform clerical tasks such as processing documentation and payments, producing progress reports, and performing calls and correspondence.

What does an equity analyst do?

An equity analyst's role is to help clients navigate through stocks and bonds using their expertise. In a company setting, their responsibilities revolve around performing extensive research and analysis on areas such as the stock market, coordinating with different departments to gather necessary data, identifying new opportunities, preparing and analyzing the company's financial records, and creating forecast models. Furthermore, as an equity analyst, it is essential to make recommendations in adherence to the company's policies and regulations, including its vision and mission.

Investment banking associate vs equity analyst salary

Investment banking associates and equity analysts have different pay scales, as shown below.

Investment Banking AssociateEquity Analyst
Average salary$119,967$103,715
Salary rangeBetween $73,000 And $195,000Between $68,000 And $157,000
Highest paying CitySan Francisco, CASanta Rosa, CA
Highest paying stateOregonCalifornia
Best paying companyBloombergThe Citadel
Best paying industryFinanceFinance

Differences between investment banking associate and equity analyst education

There are a few differences between an investment banking associate and an equity analyst in terms of educational background:

Investment Banking AssociateEquity Analyst
Most common degreeBachelor's Degree, 66%Bachelor's Degree, 74%
Most common majorFinanceFinance
Most common collegeUniversity of PennsylvaniaUniversity of Pennsylvania

Investment banking associate vs equity analyst demographics

Here are the differences between investment banking associates' and equity analysts' demographics:

Investment Banking AssociateEquity Analyst
Average age4040
Gender ratioMale, 78.6% Female, 21.4%Male, 77.0% Female, 23.0%
Race ratioBlack 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%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 Percentage7%7%

Differences between investment banking associate and equity analyst duties and responsibilities

Investment banking associate example responsibilities.

  • Achieve the highest grades in a bank run 5 day advance equity derivatives course.
  • Manage ongoing maintenance of prospective investor pipeline using SalesForce software.
  • Create valuation models associate with above projects, specifically LBO, DCF and accretion/dilution analysis.
  • Perform extensive valuations of private and public companies through comparable company and DCF analyses.
  • Attend global healthcare conference in Miami and meet with prospective clients/investors
  • Create business analysis regarding the firm's origination and execution capabilities.
  • Show more

Equity analyst example responsibilities.

  • Manage trade executions and broker relationships for all portfolio positions across several banks, prime brokerage accounts and electronic commodities exchanges.
  • Conduct fundamental analysis of securities own or being consider for inclusion in domestic equity mutual fund.
  • Conduct analysis on prospective names in buy universe using DCF, comps, historical, and extensive fundamental scrutiny.
  • Conduct fundamental and technical analysis on diversify pool of global equities across all sectors.
  • Conduct bottoms up fundamental and technical analysis of equity securities to produce buy/sell/hold recommendations for various portfolios.
  • Perform comprehensive analysis of equities, formulate and utilize fundamental and technical analysis for various equity trading strategies and execution.
  • Show more

Investment banking associate vs equity analyst skills

Common investment banking associate skills
  • Capital Markets, 7%
  • Healthcare, 6%
  • Discounted Cash Flow, 6%
  • Private Equity, 4%
  • Capital Raising, 4%
  • Securities, 4%
Common equity analyst skills
  • Financial Models, 7%
  • Equities, 6%
  • Discounted Cash Flow, 6%
  • Securities, 5%
  • Portfolio Companies, 4%
  • Real Estate, 4%

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