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Quantitative analyst vs investment banker

The differences between quantitative analysts and investment bankers can be seen in a few details. Each job has different responsibilities and duties. It typically takes 2-4 years to become both a quantitative analyst and an investment banker. Additionally, an investment banker has an average salary of $162,715, which is higher than the $101,197 average annual salary of a quantitative analyst.

The top three skills for a quantitative analyst include python, SAS and risk management. The most important skills for an investment banker are financial services, discounted cash flow, and capital markets.

Quantitative analyst vs investment banker overview

Quantitative AnalystInvestment Banker
Yearly salary$101,197$162,715
Hourly rate$48.65$78.23
Growth rate9%10%
Number of jobs48,64428,460
Job satisfaction--
Most common degreeBachelor's Degree, 53%Bachelor's Degree, 69%
Average age4043
Years of experience44

What does a quantitative analyst do?

A quantitative analyst is trained to gather quantitative methods to help companies do business and make other related decisions. In the world of trading, quantitative analysts are in demand. It is their job as quantitative analysts to help banks value their securities. They identify cost-effective investment opportunities and measure risk. They can also work for the insurance companies to develop pricing models and assess risk evaluation strategies. Also, some quantitative analysts work on the back end to enhance computer software and to evaluate financial data.

What does an investment banker do?

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.

Quantitative analyst vs investment banker salary

Quantitative analysts and investment bankers have different pay scales, as shown below.

Quantitative AnalystInvestment Banker
Average salary$101,197$162,715
Salary rangeBetween $68,000 And $148,000Between $95,000 And $276,000
Highest paying CityNew York, NYBoston, MA
Highest paying stateNew YorkAlaska
Best paying companyThe CitadelCiti
Best paying industryTechnologyReal Estate

Differences between quantitative analyst and investment banker education

There are a few differences between a quantitative analyst and an investment banker in terms of educational background:

Quantitative AnalystInvestment Banker
Most common degreeBachelor's Degree, 53%Bachelor's Degree, 69%
Most common majorFinanceBusiness
Most common collegeUniversity of Notre DameUniversity of Pennsylvania

Quantitative analyst vs investment banker demographics

Here are the differences between quantitative analysts' and investment bankers' demographics:

Quantitative AnalystInvestment Banker
Average age4043
Gender ratioMale, 79.5% Female, 20.5%Male, 76.2% Female, 23.8%
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, 5.5% Unknown, 4.1% Hispanic or Latino, 11.5% Asian, 12.4% White, 66.2% American Indian and Alaska Native, 0.2%
LGBT Percentage7%6%

Differences between quantitative analyst and investment banker duties and responsibilities

Quantitative analyst example responsibilities.

  • Manage and update early engagement processes daily through SharePoint.
  • Develop C++ codes and unix shell scripts in linux environment.
  • Perform extensive data and statistical analysis using advance packages like SAS to provide business solutions.
  • Develop predictive models using logistic regression and CHAID to target existing and prospective customers for catalog mailing events and online campaigns.
  • Create the next generation distribute C++ mortgage analytics library with Intex.
  • Present the visualization of results with Google motion charts and maps to UNDP representatives
  • Show more

Investment banker example responsibilities.

  • Utilize Bloomberg system and company proprietary research to actively monitor portfolios and manage trading activities to achieve customers' goals.
  • Provide service for existing brokerage accounts, manage accounts, annuities, and securities-base lines of credit.
  • Attain NMLS identification number for mortgage origination.
  • Generate reporting data from Salesforce platform to facilitate growth and manage firm operations.
  • Manage customer portfolios, service relationships, and used profiling analysis tools to identify cross-selling opportunities.
  • Manage a variety of internal initiatives including merchandising, cross-selling, customer retention programs and promotional campaigns.
  • Show more

Quantitative analyst vs investment banker skills

Common quantitative analyst skills
  • Python, 13%
  • SAS, 8%
  • Risk Management, 7%
  • Model Development, 5%
  • Statistical Models, 5%
  • C++, 4%
Common investment banker skills
  • Financial Services, 6%
  • Discounted Cash Flow, 6%
  • Capital Markets, 6%
  • Financial Statements, 6%
  • Client Relationships, 4%
  • Securities, 4%

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