9 Capital Market Careers (With Salaries and Primary Duties)

By Indeed Editorial Team

Published 6 May 2022

The Indeed Editorial Team comprises a diverse and talented team of writers, researchers and subject matter experts equipped with Indeed's data and insights to deliver useful tips to help guide your career journey.

Careers in the capital market play a fundamental role in the raising of funds to meet key developmental business goals. Candidates with a passion for finance and business development may find a fulfilling career and gain useful skills by working within the capital market. Understanding the types of jobs available in this industry may help you make more informed career choices and encourage you to pursue the necessary steps to secure one of these roles. In this article, we discuss what capital market careers are, list nine roles in this industry and discuss their national average salaries and primary responsibilities.

What are capital market careers?

Capital market careers refer to roles that help companies raise funds to reach their developmental targets. This involves working with professionals across the financial sector and liaising with companies and investors to arrange business deals and transactions designed to generate profit. Typically, deals between businesses and investors have mutual benefits. Candidates working within this sector communicate with both parties to determine their investment and profit goals and find the most mutually beneficial deal.

Typically, businesses raise funds by selling their stock to individuals in the public market, known as an initial public offering. This means that anyone can purchase the stock for a sum of money. This is a good way for companies to make money quickly to meet their immediate profit goals. Alternatively, companies can elect to sell their shares to a private investor, usually a business or well-known company investor, which allows them to choose the investor beforehand. This may give them more leverage or opportunity for profit.

There are several benefits to finding a career in the capital market. Here are some examples:

  • Careers in the capital market are vast as there are many professionals involved in the investment process.

  • These careers allow candidates to work with professionals from different financial backgrounds, which can provide them with numerous transferable skills.

  • Working within the financial sector can be a lucrative career option, meaning that candidates may experience employment and financial benefits.

Related: 25 Careers in Economics (With Duties and Salaries)

9 capital market careers

Here are nine capital market career options to explore, with information about their average salaries and primary duties:

1. Financial risk manager

National average salary: $153,397 per year

Primary duties: Financial risk managers are responsible for calculating and assessing the financial risk of business investments. These professionals decide whether financial choices are in the best interest of the business, its primary stakeholders and its company profile. They compile a comprehensive risk analysis report to present to the business, outlining any risks and how they might impact the company.

Financial risk managers also compile plans for mitigating investment or financial decisions that don't go as planned. They do this by collaborating with the business' managers, determining the best way to limit the impact on the company and finding alternative financial solutions.

2. Fund manager

National average salary: $105,126 per year

Primary duties: Fund managers are important professionals in the investment process. They assess mutual funds, such as pensions, and oversee the transaction process in investments. They ensure investments are mutually beneficial by conducting financial research. This allows them to advise a business on smart investment choices, helping it to increase its profits.

Fund managers primarily place stock and bond orders on behalf of a business and sell stock from portfolios. They manage a pool of investments, ensuring that each one generates a profit and is in the best interest of the business and its key stakeholders. Fund managers may work in a permanent position within a single business or manage of host of clients.

3. Underwriter

National average salary: $84,186 per year

Primary duties: Underwriters check a client's credit history and assess the amount of risk a lender assumes when loaning them money. They ensure that clients have a viable means of paying back loans and don't have a history of financial discrepancies like missing repayments.

Typically, underwriters work in investment and insurance firms and conduct thorough financial risk assessments on behalf of their clients. They often work on behalf of a business looking to acquire another business or buy its shares. They assess the third party's risk when acquiring and help them decide whether it's a smart or viable financial decision.

Related: What Is an Insurance Underwriter? (With Career Guide)

4. Broker

National average salary: $82,949 per year

Primary duties: A stockbroker manages and sells shares to investors and businesses. Stockbrokers liaise on behalf of investors when they're unable to buy shares directly from a company. They assess the stock market to find shares and companies that may interest their client. They then negotiate a deal that benefits both parties and buy or sell the stocks and shares on behalf of their client. This intermediary role is crucial for the successful transaction of an investment. Stockbrokers have a wide range of skills and investment options, allowing them to offer their clients many opportunities.

5. Credit analyst

National average salary: $89,026 per year

Primary duties: Credit analysts check a client's credit viability. They assess credit applications with a range of criteria, such as the purpose of the application and the credit history of the client. They use this information to assess whether the client can afford to repay a loan or make a large investment.

Credit analysts compile complex financial reports that determine whether a client can repay funds to an investment bank or lender, which helps the lender to decide whether the client is a good candidate. They may assess a client's spending patterns, previous investments, repayment terms, earnings and savings.

6. Actuary

National average salary: $104,331 per year

Primary duties: Actuaries use comprehensive mathematical and probability skills to assess the likelihood of certain risks and financial events in an investment process. They predict negative outcomes of a financial investment, which then helps their client determine the best course of action to mitigate or avoid the risk.

Actuaries develop policies to help businesses minimise their risk and make smart financial and investment decisions. They use their extensive knowledge of financial theory and research the likely risks associated with certain investments. From this, businesses can decide whether it's beneficial to invest in a company or buy their shares.

7. Portfolio manager

National average salary: $120,953 per year

Primary duties: Portfolio managers are crucial to the management of a business' or clients' investments. They introduce investment strategies that determine the success of their clients' investment choices. They conduct thorough market research to help their client decide whether an investment opportunity meets their goals and determine how they can mitigate any challenges.

Portfolio managers select investment opportunities based on their client's salary, profit expectations, public profile and financial capabilities. This helps the client make smart and profitable decisions that don't pose a risk to their financial prosperity.

Related: What Does a Portfolio Manager Do? (And How to Become One)

8. Business manager

National average salary: $114,606 per year

Primary duties: A business manager oversees the general operations and development of a business, ensuring that decisions are in the best interest of its key development targets. They help to ensure that investment choices meet the company's fundamental goals and don't threaten its profile and financial prosperity. Business development managers may collaborate with financial risk managers to find ways to limit financial risk.

Business managers ensure that a company prioritises its financial and development targets during negotiations. They also assist with the day-to-day management of a business, ensuring that its departments function efficiently and its staff abide by company policies.

9. Investment banker

National average salary: $98,344 per year

Primary duties: Investment bankers may consult with a business before it makes any investment choices to help it determine how to maximise its profit and prioritise its goals. These professionals work within investment firms to ensure clients understand their investment options and instruct them on how to reach their development targets via investment.

Investment bankers may specialise in a particular market and advise clients who have an interest in that market. This requires them to have a comprehensive knowledge of the investment opportunities within that market at all times. This ensures that they can advise new clients on prosperous opportunities.

Salary figures reflect data listed on Indeed Salaries at time of writing. Salaries may vary depending on the hiring organisation and a candidate's experience, academic background and location.

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