Finance

What is Finance?

The Ideal Candidate & How to Become One

Main Players in Finance

Roles & Opportunities

Application Process & Tips

Additional Resources

What is finance?

The financial services industry is very wide, offering a variety of paths that match different skills and interests. Researching the different niches in financial services will help you to land the job that is most compatible with your strengths and skills.

Careers in finance are often a popular choice as they can offer a fast- paced, intellectually challenging and high paying position shortly after completing your degree. The different opportunities for working within the finance field are vast, with a multitude of specialties to choose from.

Most jobs in finance fall within the following 2 areas:

  • Financial services firms (Investment Banking, Corporate Banking, Investment Management, Fintech, Big 4…)
  • Financial department of any company (Corporate Finance)

Read on to learn more about each of these areas...

 

Financial services firms

According to the Unofficial Guide to Banking, Financial Services firms (Investment Banking, Corporate Banking, Investment Management, Fintech, Big 4) "provide services for people or organizations who want to borrow, lend and invest money. They are huge, complex organizations that play a part in the lives of people in every corner of the world, with clients ranging from individuals to businesses, and even the governments and central banks of entire countries.

Banks work with vast amounts of money, every single day. But it’s a common misconception that you need to be a financial prodigy to work at one: just as important are regulatory experts, who make sure that institutions comply with the law in every country where they do business. And there’s a broad range of other specialists, from HR and finance to technology.”

You’ll find a description of subareas in the next section of this handbook.

 
 

Financial department of any company

Corporate Finance manages a company. It can be a bit tricky to differentiate it from investment banking because, depending on the context, investment banking might count as a type of corporate finance.Likewise, an investment banking firm might have a corporate finance division.

A Financial Department of a specific company usually manages matters related to acquiring funds, managing funds and planning the expenditure.“Larger organizations will have more specialized finance teams with many levels of management. In a smaller business, it may be the owner or a small team who have broader roles and greater responsibility. The best way to understand the responsibilities of an organization’s finance team is to split the roles and responsibilities into:

  1. Strategic financial management. "The finance planning team or financial strategy team looks at the overall picture to assess organizational health and to plan short and long-term goals.Financial planning teams will also use current records and reports to predict the growth and future trends of the company. The strategic finance team creates forecasts and plans to ensure growth, manages and mitigates risk,looks at ways to increase capital, manages budgets and financing options, and liaises with investors.” (source)
  2. Accounting and reporting. "The accounting team is the foundation of a finance department. It manages the preparation of balance sheets,financial statements, cash-flow reports, day-to-day record keeping and reporting, including all payroll, accounts payable and receivable. It also manages and conducts all internal audits and controls, and tax and reporting functions. It makes sure that the organization is in line with regulations and is in good financial health" (source).

 
 

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Industry Description: The Subsectors of the Finance Services Industry

 

Investment Banking

"What is investment banking? Is it investing? Is it banking? Investment banking is the term used to describe the business of raising capital for companies and governments and advising them on financing and merger alternatives. Capital essentially means money. Companies need cash in order to grow and expand their businesses; investment banks sell securities (debt and equity) to investors (pension funds, mutual funds, hedge funds, asset managers) on the global market in order to raise this cash.“

Read Vault Guide on Investment Banking here

Global Markets (Sales & Trading)

"When people think of investment banking, they tend to imagine the trading floor. Although sales & trading is just one part of a bank’s work, it is where a lot of its commercial activity takes place. In simple terms, traders buy and sell products like equity (stocks) and debt (bonds) and commodities (like oil and natural gas) and execute foreign exchange deals that make an incremental profit.”

Read detailed guide on Sales & Trading here.

Asset Management

“In Asset Management, there’s one key objective: generating income for clients. This is done by directing a client’s capital into a range of investments, chosen carefully by balancing risk, opportunity, and other variables – from timeframes, to the other investments in a client’s portfolio. On behalf of their clients, an Asset Management team might invest in stocks, bonds, property or the foreign exchange to help a client meet their investment goals. These are just some examples of common investments.”

Read detailed Vault Guide on Asset Management here.

Wealth Management and Private Banking

Individuals with substantial wealth often have complex financial arrangements, and want to make sure that their asset portfolios are generating the best possible returns. They’ll work with a specialist advisor at a bank with in-depth knowledge of financial markets and investment opportunities who will understand their perspective and help them reach their goals.

Wealth managers work in a consultative way, getting advice from appropriate experts and offering appropriate products and solutions. Their services can be either discretionary or non-discretionary.

Read Wealth Management Guide here.

Private Equity

“In its broadest sense, private equity is an investment derived from a nonpublic entity, or private company. These investments differ from those in publicly traded companies that allow investors to purchase shares of stock. Private equity (PE) is much bigger; these investors don’t just invest in stock—they buy entire companies.”

Read Vault’s Private Equity Guide here.

Commercial/Retail Banking

“Retail provides products and services like loans, mortgages and current accounts to individuals and small companies. It’s the kind of banking we think we all know, but there’s much more to it than high-street branches and call centres. It’s a huge, complex and competitive business where customers want the latest digital technology without losing access to personal advice. Opportunities in retail range from front-line customer service and branch management to relationship management and product development. People with aptitude can progress quickly and will get the chance to study for professional qualifications.”

Read Corporate Finance Institute’s guide to Comm. Banking here.

Fintech

“The term fintech refers to the synergy between finance and technology, which is used to enhance business operations and delivery of financial services. Fintech can take the form of software, a service, or a business that provides technologically advanced ways to make financial processes more efficient by disrupting traditional methods.” (source)

Read Corporate Finance Institute’s intro to Fintech here.

Sustainability & Impact

"ESG Investing (also known as “socially responsible investing,” “impact investing,” and “sustainable investing”) refers to investing which prioritizes optimal environmental, social, and governance (ESG) factors or outcomes." Read these articles on ESG jobs in Finance and banking and what they entail: efiancial careers and corporate finance institute.

 

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Please, take a look at the images below to further understand how these subsectors fall in place in the Financial Sector.

This Deutsche Bank’s Unofficial Guide to Banking will also provide you with further information on the different subsectors within Banking.

Other things to consider: Lifestyle, industry specifics, etc.

Simple Centered

Stack's visual style is simple yet distinct, making it an ideal starting point for your project whether it be a basic marketing site, or multi-page company presence.

Finance is a very demanding sector and function, so students interested in pursuing a related career should really be passionate about the area, and understand what they are applying for, both in general terms and specifically. It is not really an option for those looking at this as an ‘option B’, especially if looking to target top firms.

It’s a very competitive sector, with very talented candidates, so having good grades and the required skills is not enough. The company will also be looking at motivation.

Junior profiles in this sector will be expected to work long-hours, and be OK with tight deadlines and working under pressure.

On the other hand, salaries are usually higher than in many other sectors and functions, and progression is usually more structured. People working in this sector will be in a fast-moving and intellectually stimulating environment.

In the section above, you’ll find guides for each subarea, specifying the details of each one.

We also recommend you reach out to alumni who are currently working in the banks of your interest. Try to secure informal informative meetings for insights and advice. And of course, attend company events, inside and outside IE, to get valuable insights.

 
 

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The Ideal Candidate

Desired Student Profile

  • High GPA: usually over 8, make sure you highlight good grades in finance-related courses.
  • Previous experience in Finance: Spring Weeks, Summer Internships, Off-Cycles, shadowing experiences in Finance, virtual finance-related experiences, investing experience (real or virtual portfolio), Finances pecialization/track or participation in competitions and events among others.
  • Languages: very high level of English is required, local language (other than English) is not always required.
  • IT Skills: good command of Excel, Power Point and Financial Modelling.
  • Relevant extracurricular activities: involvement with your University and High School (club management, volunteer experience, sports at competition level, part-time jobs...).
  • Passion for Finance: show this passion! Be updated! – See newsletters suggestions in Other Resources section.
  • Analytical and Interpersonal skills: results-oriented and client-oriented.

How to Become a Better Candidate

Wall of Fame

Would you like to see yourself in this Wall of Fame? Fight for your dream job in Finance.

 
 
 
 

Beatrice Wilkinson

Client Relationship Manager at Berenberg

Laurensz van Oorschot

Business Development Officer at BNP Paribas Asset Management

Carlota Vento

Ventures Analyst at Plug and Play

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Jannis Markgraf

Investment Banking Analyst at Houlihan Lokey

 

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Main Players in Finance

Roles & Opportunities

There are various types of junior positions students can apply to, take a look at the list below to identify which are more suitable for MIM Students.

  • Spring Weeks: they are not really an internship, but they are a great way of breaking into the sector. These take place around April, with applications in August-Nov of the previous year. Some students participate in more than one. They are usually open to undergrad students during their antepenultimate year so, even you might want to try your chances, you are probably not the profile companies are looking for when they recruit for their Spring Weeks.
  • Summer Analyst Positions: also called Summer Internships. These are usually open to students in their penultimate year (the Summer before their last year of studies). They last 10-12 weeks usually, and applications take place in August-Nov approx of the previous year. The objective of the banks is to identify good profiles for their full-time analyst positions. It is usual that students who participated in Spring Weeks are the first selected for these Internships. Unless you are a Dual Degree Student, Summer Analyst Positions are not for you. Take a look at this article to find out about everything you need to know on Investment Banking internships.
  • Off-Cycle Internships: these usually last about 6 months, and open throughout the year, when the Banks or company financial departments have the need to cover specific internship positions. Usually these are designed for last-year students or recent grads.
  • Analyst Roles: these are entry-level full-time positions for students who are graduating.

Watch the recording of our latest 'How to Get a Job in Finance' Session, with speakers from Goldman Sachs, DWS and Greenhill sharing their insight and experience on this topic.

 

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Application Process & Tips

Most application processes for major Banks or other financial services firms are done through their websites. Even if they choose to advertise their positions on external sites or University portals, normally they’ll redirect you to their websites (with the exception of Private Equities and Venture Capitals). The major recruitment process for post-graduate students in this sector takes place at the beginning of the academic year (August-November approx). The earlier you apply, the better.

Regardless of the advertised deadline, applying as soon as possible can make a difference, as firms start interviewing applicants in August. You can also use different Career Portals to find out about these opportunities, such as our own Career Portal or https://www.efinancialcareers.co.uk/, but we always reccomend applying through the company's web page.

Remember when applying you should always research the company, through their website, but also through Glassdoor and Wikjob, which offer company and interview process reviews. After applying, candidates might be asked to pass an online test and invited to a pre-recorded interview and/or telephone interview. Then, pre-selected candidates are usually asked to attend an Assessment Centre in the bank’s office or online. Below we’ll briefly go through each of the main usual stages in Finance Recruitment (remember, general info is also available on the CDT for each of these stages).

Online Application

  • IE CV Template + VMock: prepare your CV on the IE CV Template and sign-up on VMock using your IE credentials. Work on the automatic feedback provided by the platform until you reach a 75% score (please remember you have 10 tries). Maximum one-page long!
  • Cover Letter: show how you fulfill the desired profile and relevant skills. Try to focus as much as possible on technical skills and base your stories in professional experiences. You can access this Online Learning Journey to find further info.
  • Academic records: You can download your transcript from your online campus.

Online Tests: you can practice for this type of tests using JobTestPrep. They provide company-specific online test & assessment centre preparation practice. To find the right test you can search by Company, Test Provider, or Type of Test. Important: Premium subscription for IE Students allows unlimited free access for 1 year starting from the first login.

  • Access JobTestPrep
  • Accept the privacy terms and enter code: IEMADRID2026-1F477756
  • Register with your IE email (XXX@ie.edu)

Pre-recorded Video Interviews: this type of interview is becoming very common these days. The company will ask you to record yourself answering a series of questions.

  • Check out this video by Goldman Sachs which explains and gives tips for video interviews.
  • Take a look at these Hirevue Interview Questions for JP Morgan and Goldman Sachs (please review regardless of the company you're invited to interview with).
  • To practice, you can use this Linkedin Software and the VMock Elevator Pitch forVideo Interviews, where you will practice your Elevator Pitch of one minute andwhere the tool will use AI to give you specific feedback for you to improve. Checkout the guide to learn how to use it and access through vMock.
  • To practice, you can use this LinkedIn Software and the VMock Elevator Pitch for Video Interviews, where you will practice your Elevator Pitch of one minute and where the tool will use AI to give you specific feedback for you to improve. Check out the guide to learn how to use it and access through CMock.

Telephone or face-to-face interviews: motivational, competency-based and technical. Around 1h long. Motivational and competency-based interviews are usually conducted by people working in Human resources, whereas technical interviews are commonly done with hiring managers or other people working on the business side.

  • Typical motivational questions: Why a career in banking? Why this specific firm? Why did you choose to study a Masters in Management in Madrid?...
  • Competency-based questions: prepare examples for this kind of question and always answer in first person, remember to specify situation–task–action–result. You can take a look at these 100 behavioral questions.
  • Technical: they’ll check your financial knowledge. You can prepare for this type of interviews by reading the following guides: Finance Interview Prep-Guide (free access through IE), 400 Interview Questions for Investment Banking. Please check the Additional Resources Section to find more resources to prepare for technical interviews.

Assessment Centres: They can include one or several of the following: Reasoning tests, Intelligence tests, Personality tests, Presentations, Group Dynamics, Technical interviews, as well as HR interviews.

  • They can include one or several of the following: Reasoning tests, Intelligence tests, Personality tests, Presentations, Group Dynamics, Technical interviews, as well as HR interviews. Technical interviews: interviews with people from the business.
  • It is very important to be updated on relevant corporate transactions, movements in the market, macroeconomic indicators, recent business mergers, etc.
  • You can find more information on Assessment Centers & Other Types of Interviews on and check this Finance Assessment Centre Guide.
  • Please, keep in mind T&C conducts Assessment Centre Simulations on campus regularly, you can check our schedule for future simulations here.

Recruitment Cycle

The Recruitment Cycle for Finance might differ depending on the type of role and subsector you are applying to. As you may know, the financial sector is a quite competitive sector and, to make sure they can get the best candidates, recruitment processes for Investment Banks start one year before the selected candidates actually become employees. Take a look at the image below to see what the recruitment cycle looks for this type of companies.

This is the cycle you can expect if you are hoping to land an opportunity in a Buldge Bracket or the Investment Banking, Sales & Trading, Asset Management or Wealth Management division of a big bank. If you are applying for an off-cycle opportunity (sometimes also available for the firms mentioned above), you should start applying within the 3-4 months before your graduation. This does not mean you can relax for the rest of the year, it means you have more time for researching, networking and preparing for interviews.

 
 
 
 
 

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Additional Resources

Take a look below to find additional resources that will help you become the most suitable candidate.

Research & Networking

Webinars

Company-Specific Resources

Resources per Sub Sector

 
 
 
 
 

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