u/Disha-7550

From the outside, a lot of people in IB seem exhausted all the time, constantly stressed, and always talking about eventually leaving. But then you see the same people stay way longer than they originally planned to, even after saying they were done with the lifestyle. For people who’ve worked in investment banking, what do you think actually keeps people there? Is it just the money and exit opportunities, or does the job slowly become hard to leave because you get used to the pace, the people, and the feeling of constantly chasing the next thing? I’ve noticed a lot of people enter IB thinking they’ll only do it for 2 years and somehow end up staying for 5 or 10.
At some point it feels like the job becomes more than just a job and I’m curious how people in the industry see that.

When I first started looking into investment banking, it honestly seemed like the perfect career. Good money, smart people, strong career growth, and a lot of opportunities later on. Online it feels like everyone talks about it like it’s the ultimate goal if you’re ambitious. But the more people I talk to who actually work in IB, the more confused I get about whether the lifestyle is really worth it. A lot of them sound constantly stressed and tired. One person told me the worst part is not even the work itself, it’s feeling like you can never fully relax because your phone could go off at any time. Another said you start planning your life around work instead of the other way around. At the same time though, most of them also say they grew a lot from the experience and became way more confident, disciplined, and mentally tougher. I think that’s why IB is so hard to judge from the outside. Some people seem to love it and others seem completely miserable, sometimes at the same firm. For people who’ve actually been in banking, what’s something students usually don’t understand until they experience it themselves?

A lot of people hear finance terms like “front office,” “middle office,” and “back office” but don’t really understand what they actually mean in day-to-day work.

Front office is usually the client-facing and revenue-generating side of finance. This includes roles like investment banking, sales & trading, wealth management, and private equity. These are the jobs most people think of when they imagine “high finance” — long hours, high pressure, strong pay, and a lot of competition. Middle office is more about supporting decisions, managing risk, and making sure things run properly behind the scenes. Roles here can include risk management, treasury, compliance, strategy, and financial control. These jobs may not get as much attention online, but they’re extremely important because they help firms avoid massive financial and operational mistakes.

Back office handles operational and administrative functions that keep the entire system running smoothly. This includes settlements, operations, reporting, processing transactions, and internal support functions. These roles are usually less client-facing and often have better work-life balance compared to front office. What’s interesting is that many students only chase front office because of the pay and prestige, even though middle office and back office can sometimes offer more stability, less burnout, and solid long-term careers depending on what someone values.

If you work in finance or are trying to enter it, which side do you think is the most underrated?

Many people think that IB is just about closing huge deals. But in reality, one skill sits behind almost everything in IB financial modeling.

Whether it is valuing a company, analyzing a merger, or preparing a pitch for clients. Bankers use financial models to understand numbers and make decisions. It helps turn raw financial data into a clear story about where a business is headed.

That is why financial modeling is such an important skill for anyone trying to break into investment banking. It is not just about Excel. It is about understanding businesses, thinking logically, and knowing how deals actually work.

It also gives students a practical understanding of finance that textbooks alone usually cannot provide. Once you learn modeling, concepts like valuation, forecasting, and M&A start making much more sense.

In a field as competitive as investment banking, having strong financial modeling skills can genuinely help you stand out.
What do you think is the most important skill for breaking into investment banking today?

A lot of people enter investment banking expecting nonstop excitement, huge deals, and a fast paced glamorous career. The reality is that much of the job in the beginning is detail heavy, repetitive, and mentally exhausting. You spend a lot more time fixing small mistakes, updating decks, and handling pressure than most students imagine.

Another big reality check is how demanding the lifestyle can become over time. Long hours are one thing but constantly being available and mentally switched on is what really drains people. Many realize that surviving IB is not just about being smart or technical. It’s about consistency, communication, and handling stress without letting it affect your work.

At the same time a lot of people also grow quickly because of the environment. The pressure teaches discipline, attention to detail, and how to perform under expectations. But for many analysts the biggest surprise is realizing that the hardest part of IB is usually the mental side not the technical side.

What do you think shocks people the most after they finally enter investment banking?

Mergers and Acquisitions (M&A) is when two companies merge together or one company acquires another. In investment banking, it is one of the key areas where major business deals take place. These transactions help companies grow, expand into new markets, or strengthen their overall position. It plays a big role in shaping how businesses evolve over time.

The work in M&A involves analyzing companies, valuing them, and building financial models to understand if a deal makes sense. It is detail heavy and requires strong focus on numbers and research. Analysts usually support senior bankers by preparing reports, presentations, and data for deals. It is challenging but gives a clear view of how real corporate transactions happen. What makes an M&A deal truly successful, the price, the timing, or how well the two companies actually fit together?

Everyone talks about Ai replacing investment bankers, but I think that the bigger change is that companies slowly need banks less for somethings that they used to. Information is easier to access now, private markets are growing fast, and raising capitals is becoming more accessible too. At the same time, I don't think IB is disappearing anytime soon. Big deals still need trust, relationships, negotiation, and people who can stay calm under pressure. No company is going to make a billion dollar decision just because an AI tool gave them a spreadsheet. I also think a lot of students imagine IB as nonstop exciting deals and huge paychecks, but a lot of the job early on is repetitive work, long hours, fixing presentations, and handling pressure constantly. The learning can be amazing, but the lifestyle is definitely tougher than people online make it seem. I feel like the people who will do best in the future are the ones who can adapt, learn new tools, communicate well, and actually understand businesses instead of only being good at technical work.
Curious what everyone else thinks because finance feels like it’s changing really fast right now.

Lately, it feels like there is a non-stop M&A activity happening everywhere. AI, semiconductors, healthcare, energy, fintech, media, almost every industry seems to be going through some big shift right now. Some deals feel genuinely strategic, while others honestly feel like companies are scared of being left behind and are rushing to catch up.
Personally the AI and semiconductor space feels like the most interesting to me because suddenly every major company wants exposure there in some way. But healthcare and energy also feels huge long term, especially with how much those industries are changing right now. Fintech consolidation also feels inevitable at this point.
For people who follow markets or work in finance/IB which industry do you think is producing the most interesting M&A deals right now, and why?

A lot of people talk about the hours, pressure, competition, and workload in IB, so most students going into IB already expect it to be intense. But i keep feeling like there ae probably certain parts of the job that nobody fully understandable until they actually live through it themselves.

Maybe it is unpredictability of your schedule, the mental exhaustion from constantly being being "on", the pressure of never making mistakes, difficult personalities, or just how everything moves during live deals. Sometimes I wonder if the hardest part isn’t even the technical work, but the lifestyle and mindset that comes with it.

For people who have worked in IB, what was the toughest thing to adjust to that no one could have realistically prepared you beforehand?

I’ve been reading that firms like Goldman Sachs, J.P. Morgan, Morgan Stanley, and other bulge bracket banks get an overwhelming number of applications every year for a very limited number of analyst roles. It makes me curious about what really separates the candidates who get in from those who don't. Is it mostly strong academics, relevant internships, and networking, or do things like case interview performance and technical skills matter more in the final stage? And how big of a disadvantage is it if someone is from a non-target college compared to a top-tier university? Also, with increasing awareness about finance careers, is the competition getting even tougher in 2026 compared to before? Would really like to hear honest experiences and insights from people who’ve gone through the process.

I have been thinking about this a lot because an analysts life in IB still seems heavily built around old industry habits. Even though technology, communication and workflows have improved a lot over the years, many analysts still deal with long hours, unpredictable last minute requests, and a culture where being constantly available is almost expected.

At the same time, analysts are doing some of the most important groundwork on live deals like financial modelling, presentations, research and coordinating across teams, so the pressure is understandable to some extent. But I keep wondering how much of the stress is actually necessary for work itself, and how much is part of the culture that has been carried forward for years.

If you could realistically redesign analysts life today, what would you change first? Better staffing? More structured training? Smarter use of technology and AI? Or maybe just better communication from senior teams?

Not talking about making IB easy, because it will probably always be intense. I am more curious about what changes would actually improve both performance and quality of life at the same time.

From the outside, it feels like getting into a top firm is everything and the name carries a lot of weight. But once you are in, I keep wondering if it still matters as much day to day. Does it really change what you learn or the kind of work you get, or does it mostly come down to your team and role? And overtime, does the brand keep helping with opportunities, or do skills and experience start to matter more? I am genuinely curious if the name continues to make a difference or if it is mainly important just to get your foot in the door.
Also, do people within the industry actually notice or care about where you're from after a point, or does everyone just get judged on performance? And does the brand affect how confident you feel, or is that something that fades once you're doing the same work as everyone else .

Before getting into IB, I thought most of what you learn would only matter inside finance. But honestly, a lot of it carries over more than you expect. You get used to working under pressure and still getting things done properly, even when you’re tired or short on time. That kind of discipline stays with you. You also become much clearer in how you communicate, whether it’s writing emails or explaining something without overcomplicating it. The biggest change for me was attention to detail. You start double checking everything without even thinking about it. It sounds small, but it actually changes how you approach work in general. Over time, you also get better at handling feedback and not taking things personally. You learn to fix things quickly and move on instead of overthinking. And you become more aware of how to manage your time and energy, which helps a lot even outside work. Looking back, it’s not just finance skills you pick up, it’s a way of working that sticks with you in almost anything you do.

Is it just me, or does IB feel a little different now in terms of prestige? It still indeed is a top tier career with high pay and strong exit options, but it doesn't feel as rare or untouchable as it once did. With more people going into tech, startups, or by-side roles, IB doesn't seem like the only "dream path" anymore. I also feel like people are more aware of the lifestyle side of things now, especially the long hours, which might be changing how it is viewed. At the same time, the brand name, network, and learning you get from IB are still hard to beat. Do people still see it as the ultimate goal, or is it just one of many great options today? Curious to hear what others think.