【2025 Edition】How to Break into Investment Banking (IBD) with No Experience｜Compensation, Career Strategy, and Keys to Success

Hello, this is TJ, founder of Alpha Advisors.
In recent years, we have seen a surge in inquiries from professionals who want to move into global investment banks (IBD) despite having no prior experience. Although investment banking was once considered a career path reserved only for a select group of elite candidates, with the right strategy and preparation, even those without direct experience now have a real chance.

A career in IBD offers the rare opportunity to earn USD 100K–200K+ in your 20s. More importantly, it provides a powerful foundation that opens doors to private equity, hedge funds, CFO roles, or entrepreneurship within just a few years. This article explains the overall picture and concrete strategies for making a successful transition into investment banking with no prior experience.

What Is Investment Banking (IBD)? Job Overview and Required Skills

The Investment Banking Division (IBD) is responsible for advising corporations on mergers and acquisitions, IPOs, capital raising, and other financial advisory services. Because IBD directly impacts corporate strategy and major transactions, analysts and associates are entrusted with significant responsibility and growth opportunities early in their careers. Even if you start with no direct experience, the following skills and preparation are essential to break in.

English Proficiency

IBD at global banks operates primarily in English, requiring business-level proficiency (equivalent to TOEIC 900+ or strong spoken and written ability). Precision in producing pitch books and communicating with clients in English is critical. Practicing mock interviews in English and highlighting overseas study or international work experience will significantly boost your candidacy.

Finance Knowledge

Core skills such as financial modeling (DCF, LBO, etc.), valuation, and accounting fundamentals are non-negotiable. Earning CFA Level 1 or completing recognized online courses can help demonstrate and build this expertise.

Analytical and Logical Thinking

Advisory work in M&A and capital raising demands the ability to structure complex problems and propose actionable solutions. Former consultants can leverage their case interview training, while candidates without that background should practice case studies extensively.

Resilience and Ability to Handle Long Hours

IBD is known for its demanding hours (often 80–100 per week), making resilience under pressure indispensable. In interviews, it is important to provide concrete examples of thriving in challenging environments and demonstrating adaptability.

Networking

Connections often make the decisive difference in IBD recruiting. Referrals are a common gateway into interviews, and proactive networking through industry events, alumni outreach, and LinkedIn is a must.

3 Routes to Breaking into Global Investment Banking (IBD) with No Prior Experience

For those aiming to break into global investment banking with no prior experience, there are realistically only three routes.

1. Entering as a Junior Hire (Early Career Professionals)

Candidates who graduated from top global universities and initially joined prestigious employers such as leading trading houses or multinational corporations may still be considered for junior roles at investment banks. However, opportunities are extremely limited, and competition is fierce.

2. Transitioning via an MBA

Earning an MBA from top U.S. business schools—such as Chicago Booth, Wharton, Columbia, or NYU Stern—remains one of the most common routes. MBA programs with strong finance tracks equip candidates with academic credibility, technical expertise, and networking access, making them a direct pipeline to IBD recruiting.

3. Moving from a Domestic Investment Bank

Another option is to gain initial experience at a domestic investment bank before aiming for a global firm. However, without strong English proficiency or exposure to cross-border deals, this path can be highly challenging. Even if successful, candidates often remain focused on domestic transactions, which may limit long-term career growth.

Concrete Steps for Breaking into IBD Without Experience

The fastest way to reach IBD from a non-traditional background is not through ad-hoc study but through reverse-engineering a clear strategy. Candidates must first choose which route to pursue, consider MBA if necessary, and then execute tactical preparation at a high level.

Step 1: Build a Career Strategy (Reverse-Engineer from Your Goal)

Define your target bank, role, office location, and application timing. From there, select the most suitable route (junior hire, MBA pathway, or domestic IB experience). Identify gaps in English skills, finance knowledge, deal exposure, and networking, then map out how and when to close them.

Step 2: Pursue an MBA if Necessary

If the MBA route is selected, focus on schools with strong placement into IBD (e.g., Chicago Booth, Wharton, Columbia, NYU Stern). Prepare comprehensively for admissions (GMAT/GRE, English tests, essays, recommendations), and once admitted, plan early for on-campus IBD recruiting (finance clubs, networking events, summer internships).

Step 3: Execute Tactical Preparation (Mandatory Regardless of Route)

・Financial Modeling / Valuation: Practice DCF, comparable companies, and precedent transactions repeatedly in Excel. Use real company filings (e.g., 10-Ks, earnings reports) to demonstrate practical capability.
・Case Interviews / Technical Prep: Be able to explain M&A processes, cost of capital, synergies, and LBO fundamentals. Train yourself to answer concisely using a conclusion → rationale → implications structure.
・HireVue / English Interviews: Prepare thoroughly for “Why IBD,” “Why this bank,” “Why now,” deal walk-throughs, and reverse questions. Record yourself, review critically, and iterate.
・Resume / CV Optimization: Quantify achievements clearly (e.g., “increased revenue by X%,” “reduced costs by Y amount,” “analyzed and proposed Z deals”). Start each bullet with a strong action verb, keep lines concise, and prioritize IBD-relevant experience.
・Networking / Referrals: Make alumni outreach, industry events, and LinkedIn engagement a routine. After meetings, send concise summaries and explicitly request next steps or referrals.

Compensation Range and Career Appeal of Global IBD

The greatest attraction of global investment banking is the exceptional earning potential from a very young age.

・Analyst: USD 100K–150K (base + bonus)
・Associate: USD 150K–250K
・VP and above: USD 300K–500K+ is not uncommon

Beyond compensation, IBD provides unrivaled skills in financial modeling, valuation, and corporate advisory. These skills, combined with a global network, create a powerful springboard for careers in private equity, hedge funds, corporate strategy, CFO roles, or entrepreneurship within just a few years.

Alpha Advisors’ Track Record in Helping Candidates Break into Global Investment Banking with No Experience

Alpha Advisors has successfully guided numerous candidates with no prior investment banking background into roles at leading global IBDs.

・Comprehensive, hands-on training including financial modeling bootcamps, HireVue preparation, and case interview practice
・Successful placements of candidates without prior IB experience into top firms such as Goldman Sachs, Morgan Stanley, and J.P. Morgan
・A 17-year track record, led by TJ, who built his own career from a major trading company to Chicago Booth MBA to Goldman Sachs IBD, bringing unmatched insider expertise to his coaching

For those who are serious about pursuing global IBD, Alpha Advisors provides the environment and coaching needed to achieve winning offers.

A career in global investment banking is not reserved for a privileged few. With the right strategy and intensive preparation, even those starting without experience can succeed. What matters most is building a clear strategy and focusing on rapid, concentrated skill development.

For global finance careers, Alpha Advisors’ one-on-one coaching is the answer! With 17 years of proven results, TJ—who rose from a top trading company to Chicago Booth MBA to Goldman Sachs IBD—will push you to win. Get in touch with Alpha today!

Start your career transformation now with Alpha! Free consultation here ＞ Free Consultation

Learn more about our advisory program with a strong track record of successful placements into Goldman Sachs, Morgan Stanley, and other global IBDs ＞ 【Global Investment Banking Career Advisory】

TJ Profile

TJ: Formerly with Sumitomo Corporation, where he worked in the Corporate Accounting Department overseeing budgeting, financial reporting, and performance management for over 800 domestic and overseas group companies, as well as IR (Investor Relations) activities. Selected as the youngest trainee for Sumitomo Corporation of America (New York), where he contributed to the restructuring of a U.S. electric arc furnace steel business invested in by Sumitomo. Later joined the Project Finance Department, where he was engaged in arranging large-scale financings for infrastructure projects in developing countries and financing for Jupiter Telecommunications. Selected as a company-sponsored candidate for overseas MBA programs.

Earned his MBA at the University of Chicago Booth School of Business, with concentrations in Finance, Entrepreneurship, and Organizational Management. Founder of the University of Chicago Japanese Association. Initiated and executed the school’s first-ever “Japan Trip”, which has since become an annual tradition.

Subsequently joined Goldman Sachs Japan’s Investment Banking Division, where he advised on numerous M&A transactions in the media and consumer sectors, supported capital raising including IPOs, and worked on private equity investments and corporate restructuring assignments.

Selected as one of only six fellows (out of over 200 applicants) for the 4th Entrepreneurial Leadership Program of the Japan Association of Corporate Executives (Keizai Doyukai), where he received mentorship from leading entrepreneurs including Hideo Sawada, Chairman of H.I.S.

Served as President of the Chicago Booth Alumni Association in Japan (2006–2010). Has guided numerous candidates to admission at top MBA programs (Harvard, Stanford, and other leading schools in the U.S., Europe, and Asia), graduate schools, universities, and boarding schools. Track record of placing students at leading global firms including Mitsubishi Corporation, McKinsey & Company, Goldman Sachs, BlackRock, Google, Big 4 consulting/FAS, Dentsu, Toyota, MUFG Bank, Nomura Securities, among others.

Renowned for his rigorous one-on-one coaching for TOEFL, GMAT, IELTS, and GRE, with a reputation for pushing candidates to fully complete their preparation. Highly regarded for his ability to design and achieve career and academic goals with unmatched quality and precision. As a result, he is in high demand as an advisor, with numerous requests to work directly under his guidance.