The privatisation boom in the country of Saudi Arabia has caught the eyes of some of the major investment banking firms across the globe. Companies like Citibank, JP Morgan, are now planning to increase their hold in the country and make the most of the liberalisation financial market.
As the investment market shapes in this country with a population of 3 crores, we present to you an overview of the career opportunities as well as things like investment banker salary which lies ahead for finance professionals.
Market Overview
The Saudi Arabia investment market is pretty underdeveloped and hence has a low entry barrier for professionals who are willing to enter the market and make it big. Most businesses in the country are raised through IPOs, and the concept of Mergers and Acquisitions is pretty new. However, as the market is shaping and top investment firms are coming this trend is likely to change.
This, therefore, has opened a plethora of opportunities for financial professionals to move up the ladder. The resistance here would be less, and hence the opportunity for growth is more.
What Services Do Investment Banks Offer?
Though the market is still young, investment banking firms are not shying away from offering a variety of services catering to their client’s need. Some of the services which they provide include:
Merger and Acquisitions (M&A)
M&A consulting services are one of the newest market trends in the investment banking domain. Saudi Arabia being a virgin territory has enticed a lot of companies in offering this service and capitalising on the same.
1. Private Placements
Similar to M&A private placement is also one of the new avenue being explored by many investment firms in Saudi Arabia. Through private placements, investment companies tend to sell securities to clients which later helps them secure rewards.
2. Financial Advisory
Corporate financial advisory involves the investment banking experts to formulate and advise companies on risk management, credit rating and risk mitigation models.
Investment Banking Recruitment Process
The recruitments process for an investment banker in Saudi Arabia differs significantly from that of the world. Here most of the selection is made by head hunters who depending on your skill can push you to the firms for the final interview. If you wish to secure a job as well as a high investment banker salary, here is an outline of the career path you can follow:
1. Secure Internships
As the market in Saudi Arabia is still young, many banks are looking for talented interns to join their team. Internship during the early phase of your career will help you ace the tricks of the trade, following which you can apply for a permanent role in top investment banks.
2. Build Your Network
Networking is also one of the unique aspects of your investment banking career. In Saudi Arabia, most of the investment banking jobs are not advertised, and hence you will need to cold call peers and alumni to find about the same.
3. Impress the Head Hunters
Head hunters or colleagues are the people in the industry who can recommend you for a role. During cold calls and e-mails if you can impress the head hunter with your skills and knowledge, then you will be able to secure the interview quickly and hence the job. A professional with excellent technical skills as well as a deep understanding of the economic concepts often tends to be successful in the field.
Investment Banking Salary
While the investment banker salary in Saudi Arabia is similar to that you will earn in any other country or the continent, the bonus they offer is generally double. There are little to no taxes being levied, and hence the savings you make would be tremendous.
An average financial analyst in Saudi can earn up to SAR 400,000 a year. However, the median salary is approximately $170,000.
According to the report by Payscale, most of the salary is earned by a professional who is expert in MS-Excel as well as is good at contract negotiation. This is followed by people who are expert in financial modelling and risk management.
Women investment banker salary, however, tends to be less than men in the country which is because of the conservative culture in the country.
Saudi Arabia offers a lot of perks for professionals, which helps them work less yet earn more. So if you have decided to become an investment banker, then Saudi Arabia is one destination you can choose to work in.
