Management Consulting in Capital Markets

Hello,

First of all, this forum is a major achievement and welldone to all the moderators.

I have a few questions on Management consulting jobs specific to Capital Markets. I have read a few of Rhyme's excellent posts, which talks about consulting in general. I'll continue to search through the forums for more.

Let me first give you some background, which will probably help you answer my questions more effectively. I have been building applications in capital markets front office technology for the past 5 years and am now considering moving into a role(maybe after an MBA), where I can help financial institutions find effective solutions for their day to day business problems. I do this from the technology aspect of things everyday. But I would like to shift gears and work on the other side of the equation where I can be involved in the analysis and strategy phases of a business plan, rather than in the technology implementation phase. Example plans can be: How can we tap the islamic banking client market in the middle East? Should our business consider trading in Multilateral trading venues? How can we better manage the credit risk of our clients?..You get the idea...

In terms of other closely related front office roles, I don't want to move into a sales and trading role nor do I want to become a quant. The risk side of things is unavoidable in any banking related role, but I don't particularly fancy becoming a risk manager, monitoring/reviewing/controlling the risk numbers for a trading desk. Instead, what I really would like to do in the long term is, to become a business development manager in a bank (or any financial institution really), where I can introduce revenue generation ideas, manage various development streams and work on long term strategy roadmaps for the business.

From my very limited knowledge in mgmt consulting, it sounds like consulting might be a great way for me to achieve this somewhat vague dream role. I reckon, the multitude of projects I'll be involved in, with a variety of institutions, will give me an excellent exposure to all aspects of the industry and set a perfect foundation for me to specialise into a particular area afterwards.

My b/g has turned out to be very long, but I'm hoping a lot of you will be able to relate to my thought process and contribute further. As for my questions, I'm looking to understand the below:

a) Is management consulting in capital markets a good route to becoming a business development/strategy manager? Is that a common career path?

b) Can you give a few use-cases of typical problems that are solved my managment consultants in the capital markets space?

c) Do banks and others really consult the Mckinseys and Booz&Cos to solve their problems and help build strategy? Won't that give away too much of their secret sauce?

Thanks for your time