Investment Banking in Toronto

Overview of Investment Banking in Toronto

When we talk about the investment banks in Toronto, few things get highlighted. Here are the few factors that you will notice if you ever apply for an investment banking jobs in Toronto –

• Smaller market size: Unlike the USA, the Toronto (one of the few financial hubs of Canada) has a much smaller market size in regards to investment banking. It means you can really get major benefits by directly networking with a big shot. And as a result, everyone knows each other.
• Niche industry focus: In this case also, the investment banking market in Toronto is quite a niche in scope. In Toronto, the industry focus is on tech, biotech, and pharmaceutical industries. If we consider the whole of Canada, the industry focus is on mining, energy, and natural resources.
• Not very structured: If you’re not from a direct MBA background, it’s good news for you. Because in Toronto, the structure in the investment banking market is quite unsystematic. For example, getting an MBA is a plus point, yes, but not necessary to get in the investment banking world. At the same time, you will get promotion quite fast (from analyst to associate).

Services Offered by Investment Banking in Toronto

The focus of the investment banks in Toronto is on middle markets. Since the market is niche and only focus on few industries, reaching out to a wider range of customers may not be the goal.

Here are the few significant services offered –

#1 – M&A Advisory

How a company should approach mergers and acquisitions – this is answered by the investment banks in Toronto with their unique approach and astounding technical efficiency. From doing due diligence to analyzing the scenario with the client to arranging the finance, Toronto’s investment banks are unparalleled.

#2 – Private, Public, and Debt Financing

Financing a business is one of the most important services offered by the investment banks. For private financing, the banks prepare thoroughly for the presentation, do the due diligence on their own, and close the deal by accelerating the momentum. In public financing, the investment banks deal with convertible debentures, preferred shares, subscription receipts, and common shares. And lastly, for debt financing, the investment banks peruse various finance sponsors, look at different capital structure alternatives, and finally close the deal.

#3 – Liquidity and Divesting

The investment banks in Toronto do their best to increase the business value of their clients. That’s why they find out the most profitable strategies to sell off the business, search out potential buyers who can buy the business, and also analyze and recommend a course of action.

#4 – Strategy Advisory

The strategy is one of the most sensitive parts of any business – it can literally make or break a business. That’s why while helping clients in other services, strategy advisory is one of the most sought-after services the investment banks in Toronto provide. From evaluating strategic alternatives to finding out the most appropriate strategic course of action – every step is clearly defined and flawlessly executed by the investment banks in Toronto.

Top Investment Banks in Toronto

Here’s the list of some of the top investment banks in Toronto –

1. National Bank Financials
2. INFOR Financial Group
3. Canaccord Genuity
4. GMP Securities
5. Paradigm Capital
6. JP Morgan
7. Goldman Sachs
8. Bank of America – ML
9. HSBC
10. UBS
11. Deutsche Bank
12. Morgan Stanley
13. Citibank
14. Lazard
15. Wells Fargo
16. Alvarez & Marsal
17. Dundee Capital Markets
18.  Haywood Securities
19. Greenhill
20. Evercore

Recruitment Process

In the recruitment process, one thing always stands out. And it’s networking. If you don’t network a lot, your chances are bleak. Since Toronto doesn’t have many vacancies for investment banking professionals, until you directly network with the head-honchos of big investment banks in Toronto, you won’t get a solid internship experience.

If you can get an internship with a top bank, your next move would be to be the perfect fit for the environment. In the case of investment banking recruitment in Toronto, being fit for the team is super important.

Along with the Superday Interviews, you may need to sit for additional rounds so that the organization can finally pick the best for the team and best fit for the organization.

Culture

Investment banking culture in Toronto is as similar as it is in the USA. If you think that just because you work in Toronto, you can leave the office after 8 hours a day, you have greatly mistaken.

You need to work at least 90+ hours every week if you want to reach somewhere. It means no matter what, you need to put in a long time into your job, day in and day out.

Investment Banking in Toronto – Salaries

As per payscale, the average investment banking analyst in Toronto earns C$61,445 per annum which is quite good.

• Basic Salary ranges form C$41,612 – C$77,091
• Bonus varies from C$6,500 – C$27,500
• Total Payout is C$53,725 – C$92,910

As you can see from above, if you want to get in investment banking in Toronto, you will be rewarded handsomely.

Exit Opportunities

In Toronto, investment banking professionals tend to stick to the investment banking much more than their peers in the USA. There are a few who want to go out and change sides (like going to the buy-side), but rarely people change their career and go, do something else.

And also if someone does MBA, they don’t go for investment banking altogether in Toronto. That means if you’re planning to do your MBA after pursuing a career in investment banking for a few years, you may definitely need to think about another career.

Recommended Articles

This has been a guide to Investment Banking in Toronto. Here we look at Investment Banking Services offered in Toronto, recruitment process, their culture, top investment banks, salaries, and exit opportunities. You may also have a look at the following article for learning more about Investment Banking –

• Top Investment Banking in Chicago
• Top Investment Banking in Atlanta
• Top Investment Banking in Abu Dhabi
• Investment Banking in Canada
• Private Equity in Canada
• Guide to Top 10 Banks in Canada
• Investment Banking in Boston