A 8 min read
“Those who say don’t know and those who know don’t say.” – Micheal Lewis
The above quote crisply summarizes why MBA graduates covet a career in Investment banking. Reserved for the brilliant few, only a handful (5%-10%) from even the Top MBA programs get an opportunity to make careers in Investment Banking. Such is the allure of working in an Investment Bank on Wall Street. The literal heart of the economy.
Power, Prestige, and Dominance. An Investment banking job begets all this and more. However, what are the Best Investment Banks to Work for in 2023? In this article, we explore exactly that and more.
Here is the Outline of this Article:
- What Skills Investment Banks Look for in MBA Graduates?
- Best Investment Banks to Work for in 2023: Rankings Methodology
- Best Investment Banks to Work for in 2023: Diversity Rankings
What Skills Investment Banks Look for in MBA Graduates?
“Passionate, collaborative and driven.”
These are the top 3 qualities that Goldman Sachs looks for in MBA graduates, according to Michael Desmarais, Managing Director at Goldman Sachs and Global Head of Talent.
Besides the above, technical knowledge and intellectual curiosity are 2 important qualities that Goldman Sachs looks for during the interview and hiring process. Candidates must have more than a passing interest in the finance industry. A clear understanding of the events happening around them and how it relates to the financial services world conveys a genuine and sincere interest in an investment banking career.
Maturity and Sophistication in Client Interactions
Investment Banking is also a lot about solving some pretty difficult problems for their clients. Thus, candidates also require a high level of maturity and sophistication in client interactions. Last but not the least, good judgment and high integrity (shown through professional & personal experiences) are two other important qualities that successful candidates must possess.
Non-Traditional Backgrounds are an Advantage
A common myth prevalent among MBA candidates is that they should have direct experience in finance roles or equivalent qualifications. However, according to Michael, “We have a very strong appetite for non-traditional backgrounds.” While it is true that investment banks operate in the financial services industry, the clients served by them consists of every industry imaginable. Thus, employees get opportunities for exposure across a broad range of industries.
Involvement in B-School Clubs & Activities a Plus
Involvement in clubs and activities that align with your career interests in investment banking is another aspect that is highly valued. For e.g. participating in finance clubs, investment banking clubs and sales and trading clubs on campus is a great way to develop skills and build leadership experience.
Best Investment Banks to Work for in 2023: Rankings Methodology
Every year since 2007, Vault, a leading collector of market intelligence data for employer ratings and reviews conducts surveys of investment banking professionals. These 2 surveys, which were completed by over 3300 respondents (up from 2800 in 2019) are used to compute the rankings for the best investment banks in 2023.
Using a 10-point scale, respondents evaluate the “Prestige” of their peer firms based on the perception of their performance and their own personal experiences with these firms. In the second part of the survey, respondents rate their own employers in 23 satisfaction-related categories such as:
- Compensation/Pay
- Training
- Culture
- Leadership
- Diversity
- Work-Life balance
These scores are then combined using a weighted formula to calculate the overall rankings. Following are the weights assigned to the different categories:
- Prestige (40%)
- Culture (20%)
- Compensation (10%)
- Business Outlook (10%)
- Overall Satisfaction (10%)
- Work-Life Balance (5%)
- Training (5%)
These weights are the same as the 2019 and 2018 rankings. Thus, the scores from the previous are directly comparable to this year’s scores.
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Best Investment Banks to Work for in 2023: Rankings & Analysis
Centerview Partners Claims the #1 Spot
There is no bigger name than Goldman Sachs in Investment banking. However, this year, it was upstaged by both Evercore and Centerview partners and finished third overall. Evercore produced its best overall score to finish 2nd. Centerview claimed the #1 spot, remarkable as it ranked 9th just six years ago.
A Strong Showing Ranking #1 in 13 Different Measures
In 2020, Centerview received an 8.586 cumulative index score, a significant improvement from its 8.169 it notched 3 years ago. The firm produced the highest scores overall in 13 different measures including:
- Ability to Challenge
- Business Outlook
- Client Interaction
- Compensation
- Culture
- Firm Leadership
- Promotion Policies
- Work-Life Balance
A strong showing compared to 2019 where it ranked #1 in just 3 categories, jumping to #1 in 10 categories in 1 year! In the other categories where they didn’t rank #1, Centerview improved their performance across the board. Overall, it scored the highest in Firm Leadership with a 9.859 score. It also scored high in:
- Formal Training (9.809)
- Culture (9.708)
- Business Outlook (9.685)
- Compensation (9.676)
- Client Interaction (9.630)
To summarize, Centerview Employees are well-trained, well-paid, highly engaged and positive about the future. A hard combination to beat!
Following are the rankings for the Best Investment Banks to Work for in 2023:
| Firm Name | 2020 Rank (2019 Rank) | 2020 Score (2019 Score) | Change in Rank | Change in Score |
| Centerview Partners | 1 (3) | 8.586 (8.286) | 2 | 0.3 |
| Evercore | 2 (2) | 8.507 (8.372) | 0 | 0.135 |
| Goldman Sachs & Co. | 3 (1) | 8.244 (8.431) | -2 | -0.187 |
| Morgan Stanley | 4 (4) | 8.098 (8.014) | 0 | 0.084 |
| Guggenheim Securities | 5 (8) | 7.886 (7.729) | 3 | 0.157 |
| Bank of America Corp. | 6 (9) | 7.792 (7.687) | 3 | 0.105 |
| Perella Weinberg Partners | 7 (7) | 7.791 (7.802) | 0 | -0.011 |
| Lazard | 7 (10) | 7.791 (7.597) | 3 | 0.194 |
| PJT Partners | 9 (21) | 7.766 (2.263) | 12 | 5.503 |
| Moelis & Company | 10 (6) | 7.753 (7.805) | -4 | -0.052 |
| Greenhill & Co. | 11 (5) | 7.528 (7.885) | -6 | -0.357 |
| Houlihan Lokey | 12 (11) | 7.479 (7.446) | -1 | 0.033 |
| William Blair | 13 (12) | 7.265 (7.271) | -1 | -0.006 |
| Harris Williams & Company | 14 (14) | 7.055 (6.756) | 0 | 0.299 |
| Peter J. Solomon Company | 15 (13) | 7.01 (6.839) | -2 | 0.171 |
| Cowen Group, Inc. | 16 (15) | 6.53 (6.407) | -1 | 0.123 |
| Nomura | 17 (37) | 6.277 (1.65) | 20 | 4.627 |
| BMO Capital Markets | 18 (32) | 6.209 (1.703) | 14 | 4.506 |
| UBS | 19 (16) | 6.207 (6.284) | -3 | -0.077 |
| Loop Capital | 20 (17) | 4.985 (5.722) | -3 | -0.737 |
| J.P. Morgan Investment Bank | 21 (18) | 3.24 (3.244) | -3 | -0.004 |
| Credit Suisse (Investment Bank) | 22 (19) | 2.47 (2.491) | -3 | -0.021 |
| Barclays (Investment Bank) | 23 (20) | 2.408 (2.392) | -3 | 0.016 |
| Citi Institutional Clients Group | 24 (22) | 2.299 (2.258) | -2 | 0.041 |
| Rothschild & Co. | 25 (24) | 2.276 (2.203) | -1 | 0.073 |
| Jefferies & Company | 26 (23) | 2.258 (2.204) | -3 | 0.054 |
| Qatalyst Partners | 27 (26) | 2.156 (2.098) | -1 | 0.058 |
| Allen & Company LLC | 28 (25) | 2.116 (2.131) | -3 | -0.015 |
| RBC Capital Markets | 29 (28) | 1.899 (1.887) | -1 | 0.012 |
| Macquarie Group | 30 (30) | 1.87 (1.792) | 0 | 0.078 |
| Piper Jaffray | 31 (31) | 1.844 (1.759) | 0 | 0.085 |
| Wells Fargo & Company | 32 (29) | 1.833 (1.87) | -3 | -0.037 |
| Oppenheimer & Co. | 33 (33) | 1.686 (1.687) | 0 | -0.001 |
| LionTree Advisors | 34 (40) | 1.678 (1.609) | 6 | 0.069 |
| BNP Paribas USA | 35 (36) | 1.667 (1.651) | 1 | 0.016 |
| HSBC North America Holdings | 36 (38) | 1.654 (1.616) | 2 | 0.038 |
| Deutsche Bank AG | 37 (27) | 1.653 (2.205) | -10 | -0.552 |
| Bank of New York Mellon Corporation | 38 (39) | 1.584 (1.611) | 1 | -0.027 |
| Raymond James Financial, Inc. | 39 (43) | 1.578 (1.546) | 4 | 0.032 |
| Tudor, Pickering, Holt & Co., LLC | 40 (44) | 1.56 (1.523) | 4 | 0.037 |
| Robert W. Baird & Company (Baird) | 41 (34) | 1.557 (1.682) | -7 | -0.125 |
| Royal Bank of Scotland (RBS) | 42 (41) | 1.557 (1.606) | -1 | -0.049 |
| Cantor Fitzgerald & Co. | 43 (42) | 1.529 (1.568) | -1 | -0.039 |
| Societe Generale Corporate & Investment Banking | 44 (45) | 1.528 (1.51) | 1 | 0.018 |
| Deloitte Corporate Finance LLC | 45 (35) | 1.525 (1.674) | -10 | -0.149 |
| Stifel Financial Corp. | 46 (46) | 1.51 (1.493) | 0 | 0.017 |
| EY Global Financial Services | 47 (47) | 1.489 (1.491) | 0 | -0.002 |
| Brown Brothers Harriman | 48 (48) | 1.425 (1.454) | 0 | -0.029 |
| Mizuho Financial Group | 49 (NR) | 1.414 (NA) | NA | NA |
| SunTrust Banks | 50 (NR) | 1.384 (NA) | NA | NA |
Centerview is Highly Respected by Peer Bankers in terms of Prestige
In the prestige rankings, which makes up 40% of the overall rankings score, Centerview jumped up to #5 with a 7.147 score, as compared to a 4.412 score in 2010. The firm has come a long way in terms of respect in the minds of peer bankers.
Centerview has been described as “the hardest job to get.” It is focused on M&A advisory and restructuring, advising on marquee deals such as the sale of 21st Century Fox to Disney. To date, it has advised on over $3 trillion worth of transactions while employing 350 people in 5 offices.
All employees below MD are groomed to rise up and lead client-facing strategic thinking and financial advisory. These responsibilities and opportunities make for an unparalleled experience according to employees.
Evercore: A Meritocracy with a Flat & Entrepreneurial Culture
Evercore with 1900 employees is more than 5 times the size of Centerview Partners, with clients such as Kraft, Dell, T-Mobile, and Whole Foods. It is described by reviewers as a “meritocracy” that disregards politics and rewards generously. According to another reviewer it boasts of an “extremely flat and entrepreneurial culture that allows direct deal and client exposure from day 1.” This creates a range of opportunities.
Goldman Sachs: A Competitive Culture Driven by Feedback
Goldman Sachs rounds out the top-3 – immortalized in pop culture as a “great vampire squid wrapped around the face of humanity”, by Rolling Stone magazine. Its impressive alumnus includes current and former US Government Treasury Secretaries Steve Mnuchin, Hank Paulson and Larry Summers.
Over 150 years old, Goldman Sachs is viewed as an exemplar of tradition – a firm that rejects more applicants than elite institutions such as Harvard University and even the Navy SEALS. It has a culture that thrives on feedback, collaboration, and competitiveness.
However, in 2020 it ranked between 13th – 15th places in six categories and below 15th place in 10 categories such as:
- Business Outlook
- Compensation
- Culture
- Firm Leadership
- Hours
- Informal Training
- Promotion Policies
- Work-Life Balance
To summarize, survey respondents viewed themselves as overworked, underpaid and alienated from leadership. Thus, bearing a cynical outlook towards the future. However, these issues may be temporary as the firm is going through restructuring under its new CEO David Solomon. With a focus on solving key issues related to understaffing and manpower.
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The Most Prestigious Investment Banks to Work for in 2023: Rankings & Analysis
Goldman Sachs: The Most Prestigious Firm to Work for in 2022
They say the more that something changes, the more it remains the same. This is true for the prestige rankings as 47 of the 50 institutions ranked last year return this year as well. Goldman Sachs placed #1 for the 14th year in a row with Morgan Stanley, Evercore, J.P. Morgan and Centerview Partners rounding out the top 5.
Following are the most prestigious investment banks to work for in 2023:
| Firm Name | 2020 Rank (2019 Rank) | 2020 Score (2019 Score) | Change in Rank | Change in Score |
| Goldman Sachs & Co. | 1 (1) | 8.917 (8.898) | 0 | 0.019 |
| Morgan Stanley | 2 (2) | 8.211 (8.166) | 0 | 0.045 |
| J.P. Morgan Investment Bank | 3 (3) | 8.1 (8.11) | 0 | -0.01 |
| Evercore | 4 (4) | 7.456 (7.115) | 0 | 0.341 |
| Centerview Partners | 5 (6) | 7.147 (6.831) | 1 | 0.316 |
| Lazard | 6 (5) | 7.043 (7.035) | -1 | 0.008 |
| Moelis & Company | 7 (7) | 6.535 (6.267) | 0 | 0.268 |
| Bank of America Corp. | 8 (9) | 6.313 (6.214) | 1 | 0.099 |
| Credit Suisse (Investment Banking Division) | 9 (8) | 6.176 (6.227) | -1 | -0.051 |
| PJT Partners | 10 (13) | 6.118 (5.658) | 3 | 0.46 |
| Perella Weinberg Partners | 11 (11) | 6.058 (5.87) | 0 | 0.188 |
| Barclays (Investment Bank) | 12 (10) | 6.02 (5.981) | -2 | 0.039 |
| Greenhill & Co. | 13 (12) | 5.953 (5.748) | -1 | 0.205 |
| Guggenheim Securities | 14 (17) | 5.791 (5.506) | 3 | 0.285 |
| Citi Institutional Clients Group | 15 (14) | 5.748 (5.645) | -1 | 0.103 |
| Rothschild & Co. | 16 (16) | 5.689 (5.507) | 0 | 0.182 |
| Jefferies & Co. | 17 (15) | 5.646 (5.51) | -2 | 0.136 |
| UBS Investment Banking | 18 (18) | 5.459 (5.49) | 0 | -0.031 |
| Qatalyst Partners | 19 (20) | 5.39 (5.246) | 1 | 0.144 |
| Houlihan Lokey | 20 (21) | 5.3 (5.073) | 1 | 0.227 |
| Allen & Company LLC | 21 (19) | 5.291 (5.328) | -2 | -0.037 |
| RBC Capital Markets | 22 (23) | 4.748 (4.717) | 1 | 0.031 |
| Macquarie Group | 23 (26) | 4.674 (4.48) | 3 | 0.194 |
| William Blair & Company | 24 (25) | 4.645 (4.481) | 1 | 0.164 |
| Piper Jaffray Companies | 25 (27) | 4.611 (4.398) | 2 | 0.213 |
| Wells Fargo (Investment Banking & Capital Markets) | 26 (24) | 4.583 (4.674) | -2 | -0.091 |
| BMO Capital Markets | 27 (28) | 4.301 (4.258) | 1 | 0.043 |
| Oppenheimer & Co. | 28 (29) | 4.214 (4.217) | 1 | -0.003 |
| LionTree Advisors | 29 (37) | 4.196 (4.022) | 8 | 0.174 |
| BNP Paribas USA | 30 (32) | 4.168 (4.127) | 2 | 0.041 |
| Peter J. Solomon Company | 31 (34) | 4.143 (4.085) | 3 | 0.058 |
| HSBC North America Holdings | 32 (35) | 4.135 (4.04) | 3 | 0.095 |
| Deutsche Bank AG | 33 (22) | 4.132 (5.063) | -11 | -0.931 |
| Cowen Group, Inc. | 34 (39) | 4.071 (3.954) | 5 | 0.117 |
| Harris Williams & Company | 35 (46) | 4.039 (3.684) | 11 | 0.355 |
| Bank of New York Mellon Corporation | 36 (36) | 3.961 (4.027) | 0 | -0.066 |
| Raymond James Financial, Inc. | 37 (41) | 3.944 (3.866) | 4 | 0.078 |
| Nomura | 38 (33) | 3.936 (4.124) | -5 | -0.188 |
| Tudor, Pickering, Holt & Co., LLC | 39 (42) | 3.899 (3.808) | 3 | 0.091 |
| Robert W. Baird & Company (Baird) | 40 (30) | 3.893 (4.206) | -10 | -0.313 |
| Royal Bank of Scotland (RBS) | 41 (38) | 3.892 (4.016) | -3 | -0.124 |
| Cantor Fitzgerald | 42 (40) | 3.822 (3.921) | -2 | -0.099 |
| Societe Generale Corporate & Investment Banking | 43 (43) | 3.821 (3.775) | 0 | 0.046 |
| Deloitte Corporate Finance LLC | 44 (31) | 3.813 (4.185) | -13 | -0.372 |
| Stifel Financial Corp. | 45 (44) | 3.775 (3.733) | -1 | 0.042 |
| EY Global Financial Services | 46 (45) | 3.722 (3.728) | -1 | -0.006 |
| Brown Brothers Harriman | 47 (47) | 3.563 (3.634) | 0 | -0.071 |
| Mizuho Financial Group | 48 (NR) | 3.536 (NA) | NA | NA |
| SunTrust Banks | 49 (NR) | 3.459 (NA) | NA | NA |
| Sandler O’Neill + Partners | 50 (NR) | 3.457 (NA) | NA | NA |
Best Investment Banks to Work for in 2023: Diversity Rankings
Bank of America retained its #1 spot in the diversity rankings. This is despite losing 0.232 of a point. Similarly, Evercore and William Blair came in at #2 and #3 respectively, despite losing 0.117 and 0.30 of a point. Centerview and Morgan Stanley bucked this trend and gained 0.15 of a point or more to come in a #7 and #8 respectively.
Following are the overall Investment Banking Diversity Rankings:
| Firm Name | 2020 Rank (2019 Rank) | 2020 Score (2019 Score) | Change in Rank | Change in Score |
| Bank of America Corp. | 1 (1) | 9.049 (9.281) | 0 | -0.232 |
| Evercore | 2 (2) | 8.809 (8.926) | 0 | -0.117 |
| William Blair | 3 (4) | 8.571 (8.87) | 1 | -0.299 |
| Goldman Sachs & Co. | 4 (7) | 8.258 (8.216) | 3 | 0.042 |
| Parella Weinberg | 5 (8) | 8.1 (8.111) | 3 | -0.011 |
| Guggenheim Securities | 6 (5) | 8.029 (8.581) | -1 | -0.552 |
| Centerview Partners | 7 (9) | 7.964 (7.804) | 2 | 0.16 |
| Morgan Stanley | 8 (10) | 7.916 (7.767) | 2 | 0.149 |
| Loop Capital | 9 (3) | 7.913 (8.906) | -6 | -0.993 |
| Cowen Group, Inc. | 10 (12) | 7.695 (7.459) | 2 | 0.236 |
| BMO Capital Markets | 11 (NR) | 7.667 (NA) | NA | NA |
| Nomura Holdings, Inc. | 12 (NR) | 7.525 (NA) | NA | NA |
| PJT Partners | 13 (NR) | 7.457 (NA) | NA | NA |
| Moelis & Company | 14 (11) | 7.376 (7.65) | -3 | -0.274 |
| Greenhill & Co. | 15 (6) | 7.365 (8.281) | -9 | -0.916 |
Here are a few more articles you may like:
- Best Consulting Firms to Work for in 2023
- Top 10 Business Schools for a Career in Finance
- Best Business Schools for a Career in Consulting
- Top 10 Business Schools for a Career in Technology
Data Source: Vault
