Commercial Banking

The Basics

 Commercial Banking primarily focuses on providing financial services to businesses, rather than individual consumers. This includes a wide range of products and services such as loans, lines of credit, treasury management, trade finance, and various deposit accounts. Commercial banks play a critical role in facilitating economic growth by providing capital and financial expertise to companies.

Different roles within Commercial Banking can vary based on the size of the bank and the types of businesses they serve:

• Relationship Manager/Loan Officer: The core role, responsible for acquiring new business clients, maintaining existing relationships, assessing their financial needs, and structuring loan agreements and other financial solutions.
• Credit Analyst: Evaluates the financial health and creditworthiness of businesses applying for loans, analyzing financial statements, market conditions, and industry risks.
• Portfolio Manager: Manages a portfolio of existing loans and client relationships, monitoring performance, identifying potential risks, and ensuring compliance.
• Treasury Management Sales/Specialist: Works with businesses to optimize their cash flow, payments, and receivables through various treasury products and services.
• Product Specialist (e.g., Trade Finance, FX): Focuses on specific financial products, advising clients and structuring complex transactions related to international trade or foreign exchange.
• Underwriter: Reviews loan applications and credit analyses to make final decisions on approving or denying credit, often in collaboration with credit analysts and relationship managers.
• Risk Management Analyst: Identifies, assesses, and mitigates financial and operational risks across the bank’s commercial lending activities.
• Compliance Officer: Ensures that all commercial banking activities adhere to financial regulations and internal policies.

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Types of Banks

Large Commercial Banks: Major national and international banks with dedicated commercial banking divisions serving a wide spectrum of businesses.

Regional and Community Banks: Smaller banks focused on serving local businesses within a specific geographic area, often providing more personalized service.

Specialized Lending Institutions: Firms that focus on specific types of commercial lending (e.g., equipment financing, real estate lending).

Credit Unions: While primarily consumer-focused, many credit unions also offer commercial lending and business services to their members.

Financial Technology (FinTech) Companies: Some FinTech firms are emerging to disrupt or augment traditional commercial banking services, particularly in areas like payments and small business lending.

Why Commercial Banking?

A career in Commercial Banking offers a unique opportunity to deeply understand diverse businesses and industries, acting as a strategic financial partner to help them grow and succeed. It combines analytical rigor with strong interpersonal skills, providing continuous learning as you navigate economic shifts and evolving business needs. The field offers stable career progression, competitive compensation, and the satisfaction of contributing directly to economic development by fueling business expansion and innovation. You’ll gain a broad perspective on how various sectors operate, making it an intellectually stimulating path.

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Preparation

Preparation for a career in Commercial Banking typically involves a bachelor’s degree in Finance, Accounting, Economics, Business Administration, or a related field. Strong analytical and quantitative skills are paramount, alongside excellent communication and interpersonal abilities.

Key steps for preparation include:

• Relevant Academic Background: Focus on coursework in corporate finance, financial accounting, macroeconomics, microeconomics, statistics, and business law.
• Financial Modeling & Analysis Skills: Develop proficiency in Excel and financial modeling to analyze company performance and project future financial scenarios.
• Internships: Secure internships in commercial banking, corporate finance departments, or credit analysis roles to gain practical experience and network.
• Networking: Attend industry events, informational interviews, and career fairs to connect with professionals and learn about different roles and banks.
• Communication & Presentation Skills: Practice articulating complex financial concepts clearly and persuasively, both verbally and in written reports.
• Industry Knowledge: Stay informed about current events, economic trends, and regulations affecting the banking and business sectors.
• Certifications: While not always required for entry-level, certifications like the CFA (Chartered Financial Analyst) can be beneficial for career advancement.

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Your Major & Finance Careers

Thinking about your future career can bring up a lot of questions, especially about how your chosen major fits in. At Wake Forest, we have compelling evidence that shows a direct major-to-career path isn’t the only route – your undergraduate focus truly doesn’t predetermine your entire professional journey.

Our data shows that Wake Forest students entering the finance field come from an incredibly diverse range of academic backgrounds. While you’d expect to see majors like Finance, Accountancy, and Business & Enterprise Management strongly represented, we also find graduates from History, Psychology, Philosophy, and even Classical Studies thriving in finance roles. This highlights a crucial point: employers value critical thinking, quantitative reasoning, problem-solving, and adaptable skills—abilities you develop across all disciplines.

Check out a few of our student success stories.