Investment Banker Salary in India 2025: Freshers to VP & Director Packages

Investment Banker Salary in India 2025: Freshers to VP & Director Packages

Investment banking in India provides substantial financial rewards, characterized by competitive base salaries complemented by performance bonuses, stock options, and other incentives. Compensation levels are primarily influenced by an individual’s experience, qualifications, the type of bank, and location, with key financial hubs like Mumbai and Delhi NCR typically offering the most attractive packages. Entry-level professionals graduating from top MBA colleges can anticipate starting salaries between ₹18–30 LPA, while mid-level professionals typically earn ₹12–30 LPA. Senior Vice Presidents (VPs) or Directors frequently command annual compensation exceeding ₹1 crore. Bonuses, ranging from 50–300%, are reflective of deal activity, individual performance, and prevailing market trends, underscoring this career path as both highly demanding and financially enriching.

The attractive remuneration in Indian investment banking is a direct reflection of the extensive working hours, high-pressure transaction environments, and significant responsibilities associated with these roles. An investment banker’s total compensation package typically includes a base salary, performance bonuses, stock options, and various incentives, collectively leading to earnings well beyond fixed pay. Geographically, Mumbai and Delhi NCR generally lead in salary packages, with Bangalore following closely. Pune and Chennai are also emerging as significant locations for investment banking opportunities. The average investment banker salary in India is tiered by seniority, with mid-level professionals generally earning between ₹12 LPA – ₹30 LPA, and senior bankers (VP, Director, MD level roles) often crossing ₹1 CPA in cash and incentives/bonuses. Several key factors influence an investment banker’s salary in India:

• Years of Experience
• Educational Backgrounds ( MBA in Finance , CFA, CA, etc.)
• Locations
• Type of Investment Bank

For freshers, an investment banker’s salary usually falls between ₹4-7 LPA. However, graduates from top MBA colleges can secure significantly higher packages, ranging from ₹18-30 LPA immediately after graduation. This article offers an in-depth examination of the Investment Banker Salary Structure in India and the critical factors that influence these earnings. Before delving into the specifics of Investment Banker Salary in India, it is beneficial to understand an investment banker course, the requirements for an investment banker, the investment banker qualification, and the investment banking eligibility to make informed career decisions.

Investment Banker Salary in India by Experience

An Investment Banker’s salary in India is also directly correlated with their professional experience. The table below illustrates the average annual salary of an investment banker across different years of experience.

Source: Ambition Box

Investment Banker Salary in India for Freshers

As of 2025, the salary for an Investment Banker in India with 0–3 years of experience varies from ₹3 LPA to ₹30 LPA , with an average salary of ₹14.7 LPA . This translates to an approximate in-hand monthly salary of ₹85,000 – ₹88,000. These gross earnings highlight the significant earning potential even at entry and junior-level investment banking roles, positioning it as one of the most rewarding career paths in India.

Investment Banker Salary in India for Analyst and Associates

As of September 2025, an Investment Banking Associate in India earns an average annual salary of ₹16.1 LPA. For professionals with 0 to 6 years of experience, the anticipated total annual income ranges between ₹2.6 LPA and ₹40 LPA. The monthly in-hand salary for these roles is estimated to be around ₹73,000 – ₹75,000.

Investment Banker Salary in India for Director and Vice President

The role of Director/Vice President in investment banking is a highly sought-after mid-senior position within the industry, requiring strong leadership, execution capabilities, and relationship management skills. As of 2025, the Vice President Investment Banking Salary in India ranges from ₹25 LPA to ₹1 CPA. For Investment Bankers in Senior positions with 7-15 years of experience, the average package stands at ₹55.9 LPA . Nearly all VPs report a significant monthly in-hand salary of approximately ₹2.4 – ₹2.5 LPA .

Vice President Investment Banker Salary in India based on experience:

Investment Banker Salary in India by Education Background

Educational qualification is a pivotal factor in determining the salary of investment bankers in India, particularly at entry and mid-management levels. The prestige of the institution, the field of study, and professional certifications significantly influence compensation and career trajectory. Here is a breakdown of programs that can lead to a high-earning career as an Investment Banker in India.

MBA Graduates (IIM, ISB, Tier-1 Colleges)

An MBA in Finance remains the conventional entry point into investment banking, with graduates from IIMs, ISB, and other top MBA colleges commanding the highest starting salaries. For those graduating from:

• Top MBA Colleges (IIM Ahmedabad, Bengaluru, Calcutta, ISB, XLRI)
  • Starting packages: ₹18–30 LPA
  • Average IIM graduates: ₹20–25 LPA

These institutions are known for facilitating faster career promotions, more attractive bonus structures, and opportunities to work abroad. For graduates of:

• Tier-2 & Tier-3 MBA Colleges
  • Mid-tier Institutions: ₹6–10 LPA
  • Regional Colleges: ₹4–7 LPA for entry-level.

The MBA salary in India for Finance specialization typically falls between ₹3-30 LPA, heavily dependent on the institute’s reputation, prior work experience, and individual capabilities. City-wise, MBA salaries also vary, with Mumbai and Delhi NCR offering the highest compensation for such roles, while Bengaluru, Chennai, and Pune provide competitive, albeit slightly lower, salaries.

CFA/ CA/ Engineer-to-Banker Pathways

Beyond an MBA, several alternative qualifications offer a seamless entry into investment banking roles in India. Professionals holding the Chartered Financial Analyst (CFA) or Chartered Accountant (CA) designations, alongside those with an engineering background complemented by finance skills, are increasingly sought after by banks for their specialized expertise.

• Chartered Financial Analyst (CFA): CFAs are highly regarded for roles such as investment analysts, portfolio managers, or risk managers, particularly within global and sophisticated financial firms.
  • Level 1 holders are typically paid in the range of ₹4 to ₹5.4 LPA.
  • Level 2 cleared applicants earn approximately ₹6 LPA.
  • CFA holders with 6 years of experience can expect a salary in the range of ₹12 to ₹35 LPA, with the national average of ₹28.6 LPA.
• Chartered Accountants (CA): Experienced CAs generally earn between ₹30 LPA to ₹50 LPA, as they often hold senior and managerial roles. Their expertise in finance, auditing, and compliance is valuable in operations and banking.
  • Entry-level CAs earn around ₹6 to ₹7 LPA.
  • With 3 to 8 years of experience, CAs can earn anywhere between ₹15 to ₹25 LPA.
• Engineering Backgrounds: Engineers transitioning into investment banking are well-compensated, especially when equipped with professional finance qualifications like CFA or financial modeling courses. They can typically expect about ₹6 to ₹15 LPA. Their analytical, problem-solving, and quantitative skills are highly valued in investment analysis, modeling, and algorithmic trading.

These diverse routes provide robust pathways into investment banking for non-MBAs, allowing them to establish comfortable careers supported by global certifications and technical qualifications that align with the evolving demands of finance in India.

Investment Banker Salary Difference: MBA vs non-MBA

The salary disparity between MBA and non-MBA Investment Bankers, particularly in India, is often noticeable in the initial years of their careers.

In 2025, MBAs from prestigious institutions command starting salaries ranging from ₹8-12 LPA, with opportunities at top global banks occasionally pushing investment banking salaries as high as ₹18-30 LPA. Certifications like CFA and CA offer non-MBAs career progression, though their entry-level salaries may be slightly lower than those of MBAs. For mid-level experienced Investment Bankers at large reputable banks, salaries can reach up to ₹12-35 LPA. After 5-7 years and beyond, the salary gap tends to narrow for highly skilled, experienced, well-networked, and impactful non-MBAs.

Investment Banker Salary in India by Locations

As the financial capital of India, Mumbai offers investment banker salaries that are successfully in the range of 15-25% more than the national average. Delhi NCR provides salaries that are 10-20% above the national average, establishing it as one of the most attractive destinations for finance professionals. While Investment Banker Salaries in Chennai and Pune might be 5-15% lower than those in top-tier cities, they remain significantly higher than those in tier-2 cities. The average salary for investment bankers in India exhibits considerable variation across cities, reflecting premiums for higher living costs and the concentration of financial activities. Below is a list of top cities offering high packages for Investment Bankers.

Top Investment Banks in India and Their Salary Packages

Leading global investment banks operating in India, such as JP Morgan, Goldman Sachs, and Morgan Stanley, offer the highest salaries, with averages around ₹30–35 LPA, and VPs potentially exceeding ₹1 Cr in some instances. Domestic banks like Kotak, ICICI Securities, and Axis Capital provide moderately competitive packages, typically in the range of ₹15–22 LPA. Boutique firms like Avendus and Edelweiss also offer competitive packages, from ₹18–33 LPA, particularly for specialized deals and advisory services. Investment banking stands as one of the most intensely competitive and high-paying career paths within India’s finance sector. Salaries are significantly influenced by the employing institution, encompassing global investment banks, domestic Indian banks, and boutique investment banks, which also determine the salary structure and opportunities for career advancement.

1. Global Investment Banks in India

Global investment banks, primarily top-tier Wall Street and European firms, lead the market in deal-making activities, including M&A, IPOs, and capital raise transactions. Key global institutions include:

• JP Morgan: Recognized as a top-rated global bank in India, it reported a revenue of $45.68 billion and a balance sheet totaling $3.9 trillion. Based in Mumbai, it demonstrates strong capabilities in M&A and general advisory services.
• Goldman Sachs: With operations in Mumbai and Bangalore, Goldman Sachs provides wealth management, securities trading, and global markets services.
• Morgan Stanley & Barclays: These are other significant players with established operations in Mumbai, Delhi, and Pune.

Compare Investment Banking Salary in India vs the USA Here.

2. Domestic Investment Banks in India

Domestic firms have seen rapid growth in India’s expanding economy, fueled by a surge in IPOs. Prominent Indian Investment Banks include:

• ICICI Securities: This is the largest domestic investment bank in India, specializing in IPOs, M&A, and market research.
• Kotak Investment Banking: Known for its strength in IPOs, private equity advisory, and capital markets.
• Axis Capital: Concentrates on equity, debt, and M&A deals across sectors such as pharma, IT, and banking.
• SBI Capital Markets: A leader in the public sector, focusing on infrastructure, green finance, and disinvestment of PSUs.

3. Boutique Investment Banks in India

Boutique investment banks specialize in niche deals, high-growth industries, and customized advisory services. Key large boutique banks include:

• Avendus Capital: Focuses on technology, digital, and consumer markets, with strong capabilities in private equity and M&A advisory.
• Edelweiss Financial Services: Has an excellent reputation for structured finance, IPOs, and asset management.
• JM Financial: Concentrates on real estate, wealth management, and capital markets.

Bonuses and Incentives for an Investment Banker in India

Investment bankers in India typically receive substantial bonuses, ranging from 50% to 300% of their fixed compensation. Specifically, analysts and associates can expect bonuses from 20% to 100%, while vice presidents and directors often receive bonuses totaling 80% to 150% of their base pay. Managing directors, meanwhile, earn between 150% to 300% in bonuses, with their total compensation potentially reaching ₹5 Cr to ₹10 Cr+. In Financial Year 24-25, the total bonus pools exceeded ₹1,000 Cr, partly due to robust fundraising efforts, which saw the lowest total at ₹5–10 Cr+, and a record ₹1.86 lakh Cr in equity fundraising—a significant increase of +142% over the previous year. Further supplementing compensation, signing bonuses equivalent to approximately 1-year salary, ESOPs with 3-4 year vesting periods, and retention bonuses of ₹1-2 LPA, are all standard practices in this sector. These performance-linked bonuses represent a substantial and defining element of an individual’s total compensation growth. Overall, investment banker salaries in India are remarkably high, with bonuses and incentives forming a critical part of the overall remuneration.

Annual Performance Bonuses

The Investment Banker bonus pool for 2024-25 has reached record levels, driven by high deal activity, with payouts exceeding ₹1,000 crore at some large firms. The bonus structure varies by seniority:

• Entry Level Analysts & Associates receive 20–100% of base (USD $1,200–$7,200).
• Vice Presidents & Directors are awarded 80–150% of base, with total compensation potentially approaching ₹1 crore.
• Managing Directors & Senior Executives typically receive 150–300% of base compensation, and their total pay at large investment banks often exceeds ₹5–10 CPA.

Current Market Trends

• Fundraising through equity has now reached ₹1.86 lakh crore, marking an increase of 142% compared to FY23. This significant growth contributes to performance bonuses of 100–200%.
• Average salary increases for bankers appeared to have peaked at 10–15%, contrasting with 4 to 7% from the previous year.
• Top performers were compensated 20–25% more than in previous years due to exceptional performance.

Performance Metrics and Bonus Factors

• Deal-Based Compensation: Fees typically fall in the range of 1.5–3% on IPOs, QIPs, and block deals.
• Individual Performance Factors: Generating revenues, managing clients, leading teams, and mentoring may all influence bonus payouts.
• Market & Firm Performance: Bonuses are commonly dictated by overall profitability and the prevailing market environment.

Signing Bonuses and Stock Options

Signing bonuses are frequently offered to attract candidates, usually approximating the candidate’s prior salary or compensating for lost incentives from a previous job. Stock Options and other equity compensation:

• ESOPs and RSUs typically vest over 3 to 4 years for senior executives.
• Phantom Equity or Stock Appreciation rights are utilized to incentivize long-term performance.

Mobilizing capital for firms may also include multi-year vesting, retention bonuses ranging from ₹1–2 LPA, or clawbacks to ensure accountability. Industry Trends and Compensation Growth The IPO pipeline remains strong, with 19 companies planning to raise ₹25,000 crore, and +37 other companies currently awaiting SEBI approval. Key growth trends include:

• AI and the digital finance transformation
• ESG finance and green bonds
• Cross-border M&A and general deal experience
• Regulatory and risk management

Given the current transaction volume and the demanding nature of the workforce, an investment banker’s salary in India is poised for growth, with bonuses and other equity compensation becoming increasingly structured components of total remuneration.

Top Skills for an Investment Banker in India

Investment banker positions in India specifically prioritize certain skills, with Finance, Financial Analysis, and Investment Banking being the most critical. Currently, approximately 37,570 jobs are available in India, demanding these essential investment banking skills:

• Finance – The most important foundational skill. This is utilized when analyzing and managing complex financial transactions.
• Financial Analysis – Knowledge of financial statement analysis, ratio analysis, and performance metrics crucial for informed investment decisions.
• Investment Banking – Role-specific knowledge encompasses deal structuring, market mechanics, and investment products.
• Due Diligence – Conducting a detailed review of companies’ financials and operations to confidently pursue a deal.
• Financial Modelling – The construction and interpretation of Excel-based financial forecasting, valuation, and scenario models.
• Mergers and Acquisitions – Understanding the deal cycle, valuation, and negotiation for companies undergoing restructuring.
• Private Equity – Knowledge of how to raise funds, manage investment portfolios, and coordinate exits.
• Corporate Finance – Expertise in capital management, funding strategies, and financial performance.
• Fundraising – Sourcing and structuring investor capital for businesses.
• Valuation – Mastery of assessing company valuation using a combination of financial techniques.
• Venture Capital – Understanding of funding startups and early-stage investing.
• CFA Certification – A professional qualification for technical finance roles.
• Investment Advisory – Providing strategic financial advice to clients and stakeholders.
• Mergers – Domain-specific expertise in executing merger deals and realizing them.
• Financial Due Diligence – A specialized skill, primarily focused on the review and validation of financial data in preparation for a transaction.

Career Growth and Exit Opportunities for an Investment Banker in India

While the salary of an investment banker in India is, on average, among the highest in finance, it also represents one of the most challenging career paths. Freshers typically earn ₹4–7 LPA at regional firms, whereas consulting and global banks offer starting packages of around ₹20–30 LPA for graduates from Tier-1 MBA colleges. More senior investment bankers easily exceed ₹1 CPA, excluding performance-based pay and other incentives. Regardless of whether an individual enters investment banking through an MBA, CFA, or CA route, the profession promises a high-income career with international exposure. However, it also comes with very high expectations for performance, long hours, and a significant commitment to ongoing professional development and learning.