Why Technology Investment Banking?
Tech companies have dominated the market and have been among the most rewarding for both investors and investment banks. Big companies like Amazon, Google and Apple have a strong brand and have made billions in sales. And start-ups like Facebook and Tesla never stop growing. The market is always lucrative, with multiple types of deals from private placements to billion-dollar M&A to IPO.
In technology investment banking, bankers advise companies in the software, internet, hardware/equipment, semiconductors and IT services markets on mergers, acquisitions, leveraged buyouts, financings, debt and equity issuances. Within this group, you will find sub-sectors including telecommunications and media (like Disney or Netflix), which have more of a consumer bent. There are also more mature sectors, such as IT services and semiconductors, which have more of a corporate focus.
Unlike many other industries, getting into investment banking isn’t as difficult for those who have an engineering or computer science degree and some work experience in the sector. The same hiring process applies, and a good networking effort can get you past the initial screening rounds and into interviews at large banks.
A career in tech investment banking is rewarding and offers constant learning opportunities – as well as the chance to become a part of one of the most exciting innovations of our time. It also has some of the highest deal flow in the industry, with some predicting that it may even surpass M&A and capital markets. But it is also a very competitive and highly sought after job, so you’ll need to prepare for an intense recruiting battle.