I would also think that the type of consulting would matter. If you’re a quant person at a consulting firm, I’d expect you’d be quite attractive to somebody.
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The mix of students getting their MBA and then going into IB or consulting is wide. History undergrads to finance and everything in between. The ability to analyze and think critically is super important. The “hard skills” can be taught.
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@bluedog23 I think I agree but draw a distinction between undergrad and MBA recruitment.
At the undergraduate (analyst candidate) level, humanities majors are as well recruited as STEM. As mentioned up thread the candidates ability to communicate, analyze, display intellectual curiosity are the criteria by which they are evaluated. In many cases the more eclectic, unique or “interesting” the candidate the better.
In my experience however MBA candidates looking for banking opportunities are at a bit of a disadvantage if they don’t have relevant career experience. At a minimum, I Banks want candidates who have experienced and thrived working the type of hours with the level of intensity that will be expected of them once on boarded. The greatest indicator of the capacity to thrive in banking is having done so previously.
Post MBA (from top schools) all graduates are presumed to have the same “hard skill” capabilities necessary to succeed. The MBA recruitment process often comes down to a slightly more nuanced fit. MBA candidates tend to be hired into an area not a pool (unlike analysts who often pool and/or rotate). The question is often what in the candidates background can the hiring entity leverage and how quickly can that benefit be realized.
For some candidates who don’t have relevant Pre MBA experience this timeline will invariably be longer and defining specific relevant skills more daunting.
Most banks do not teach hard skills to MBA grads. They are expected to be productive almost immediately based on their compensation costs.
It certainly does happen that non bankers can gain entry by getting an MBA but it is a risky path given both the tuition and opportunity costs.
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“Hard Skills” was in reference to analytical modeling. It is definitely helpful to be a finance under-grad; but having the intellectual horsepower and ability does make it doable for those humanities/other majors. For instance, in Oil and Gas IB some of the best analysts are former engineers who had zero finance or business classes in undergrad.
I think you should reread what I said. I agreed with you on this point. You however were conflating MBA and undergrad recruitment. I was clarifying for those less familiar.
Once again agreed. I have large dedicated teams in Houston primarily staffed by engineers, a Dallas food and agriculture team primarily with versions of agricultural related degrees and a Mexico team of people with mining expertise. I get it😀
My point was using an MBA to pivot into banking with no relevant prior experience can be tough. The MBA alone doesn’t necessarily pave the way. At the point of post MBA recruitment I Banks want a near term bang for their buck based largely on some prior relevant experience.
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How difficult is it for International students to enter IB / Finance? Is it hard to obtain a H1B working visa. Does a candidate with STEM-OPT have a stronger profile as compared to a applicant without STEM-OPT?
It has gotten progressively more difficult unless you offer a very specific skill set that can’t be locally sourced. The time, cost and effort has made employers tend to limit such efforts particularly at junior levels.
Depending on circumstances the best bet is work for an international CIB in local market and acquire skill set and experience. Once locally respected and identified as “talent” leverage that expertise and credibility into a U.S. expat or secondment opportunity. Those type of opportunities remain plentiful.
Hope this addresses your question.
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Hi, Thanks for the prompt reply!
I am unsure of what you mean by CIB. I searched it up on google to no result. I am a Indian, and my parents are set on me going to the US for my undergrad. As a student in finance/econ, what pathways exist in the financial industry for me to obtain a H1B Visa? Aside from that, if I work with a bank for the 3 years under my STEM-OPT, and return top India, would I have job opportunities in similar industries there (I understand if this question may not fall under your area of expertise, but it would be great if you know anything about it.)
CIB = Corporate and Investment Banking
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Would a math, statistics or Econ major be considered for banking or finance type of jobs? Or, would they at disadvantage to finance or business majors?
Absolutely no disadvantage in my experience. In fact math and stats majors are often sought out as they graduate with some specific applicable skills that are not typically taught as part of training programs.
Much of what finance majors are taught in college is part of the rotational program’s curriculums.
For what it is worth my kid was an applied math major so I have a bit of a bias, but also saw first hand how sought after the skill set is.
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Do you mean that majoring in finance is not so desirable? Can you elaborate. Thank you
Sorry, did not mean to imply that.
At schools like Penn, NYU, Fordham, ND, etc (with highly regarded business programs) the finance kids have a bit of a leg up. The I Bank recruitment teams will target the finance kids from these schools and it will be an uphill battle (not impossible) for non finance.
At Ivies (except Cornell/Penn), or elite LACs it’s all non business kids. The majority of applicants will be economics majors. This is a well travelled track and consequently very competitive. Having other tangible skills can make you stand out as can an interesting or unique interest.
If you asked me to bet on who gets the job amongst (same GPA) a Yale Econ major, Wharton finance kid, Williams art historian, Brown applied math or valedictorian geologist from Colorado School of mines, I would say it’s a toss up and would come down to interview performance. More importantly I think all of the above would stand a comparable and very good chance of getting an interview which is often the hardest part.
Hope this helps?
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Thank you so much for your input as always. So if my S decided to major in music and math at williams rather than econ that may put him at an advantage?
Thank you for the update. How are combination of management and technology programs- Penn and MIT viewed from your perspective?
One of the best investment banking analysts I ever worked with was a Philosophy major in undergrad. Another top analyst was pre-med.
Definitely don’t need to major in finance to be successful.
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In my experience it likely wouldn’t make a difference either way, but could catch someone’s eye if he has activities that also suggest an interest in finance. He should start building a network quickly and becoming familiar with the various firms recruiting cycles and events.
I have not had direct experience (been a while since I have interviewed analysts and associate), so don’t want to speak definitively but I would think this background would be highly sought after. Lots of both rigor and applicability. Will definitely set you apart and a rwady made network.
Again some bias on my part as a philosophy like undergrad. I have posted previously that many of the fellow CEOs I know have similar undergrad backgrounds but completed highly rated MBA programs of other advanced degrees.
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Thank you. This is great info.
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