Private equity as a career involves raising funds from large investors and in turn investing these funds into a variety of businesses. These businesses are often promising start-ups or are in their early developmental stages, and have the potential to make massive returns on investments. Managers of private equity funds also have to decide when to sell holdings to other investors in order to make profits.
If you prefer the realm of banking over private funds, investment banking may be a more suitable finance career. In short, this career path can be split into corporate finance roles and equity capital markets roles. The former involves valuations, setting targets and limits, financial negotiations and legal regulations. The latter involves assistance with corporate fundraising.
If you enjoy management and analysis, fund management is a prosperous finance career opportunity. Fund managers monitor various macro factors (that affect the market) and micro factors (that affect individual companies) in order to make the best informed decision to manage funds. A wide degree of knowledge in different markets is required, including the stock market, debt market and Forex market.
The main component of this finance career is research, whether you decide to specialise in sell-side or buy side. Individuals following this career path need to be skilled in both fundamental research and technical analysis, as they need to be fully competent in evaluating the stocks that are being traded on the stock exchange, which in turn will affect investment decisions made by companies.
This finance career path is an exciting one to follow, as it allows individuals to work in a variety of infrastructure, industrial and real estate projects as opposed to just following figures and stocks. Possible candidates for this finance career would have to understand certain essentials, such as knowing the feasibility of certain projects and creating a detailed financial model for each individual project.