I-banks at the IIMs drop an optimistic note on India’s economy

livemint.com:

MUMBAI : For a sure sign that domestic dealmaking is picking up in India, as is the economy, turn to the recruitment scene at the country’s premier management schools. Investment banks and private equity firms are handing out more domestic postings than international gigs to graduating students of the Indian Institutes of Management, in a sign that the persistent funding winter perhaps is finally thawing. Large domestic as well as global firms including DE Shaw, Goldman Sachs and Premji Invest are hiring graduates for functions across wealth management, institutional equities, asset management and investment banking profiles.

But given listless global markets, few of these have been for international roles, show campus placements reports at the IIMs. Domestic postings were instead made more attractive with higher-than-usual joining and retention bonuses. The roles were mainly in investment and market research, corporate, wholesale and retail banking, trading, and operations functions.

While graduating students who might have been hoping for international roles would likely be disappointed, there’s a potential silver lining for homegrown companies in this shift in hiring patterns. Investors and bankers expect the fundraising cycle to pick up again in 2024 after a funding winter that has prolonged for about two years, especially for early- and growth-stage companies. “Our investment banking business is growth-focussed and we see a lot of tailwinds.

We want to be ready for the structural long-term India growth story," said Anirban Banerjee, chief human resources officer at Avendus Group. The financial services firm recruited 15 associates from the batch of 2024 at the IIMs. India’s retained its crown as the world’s