The job of a financial analyst is one of the sought after positions that in the finance industry that requires some specific skills and potential. A financial analyst evaluates and examines various micro and macroeconomic factors along with the basics involved in the financial operations of the business to make effective suggestions for the proper functioning of the company. They also determine the course of action to be followed by the company to exhibit good financial strength. If you are aspiring to be an analyst then you need to be aware of recent developments in this sector to predict the future economic performance analyzing a number of variables.
Qualifications for this job
It is best to pursue your graduation degree in subjects like Business, Economics, Maths and Accounting if you want to adept in this field of finance. You can also be a graduate in Engineering, Computer science, Biology, and Physics. You need to be expert in number crunching and data analysis. Most of the students aspiring for the best finance jobs for freshers are considering these subjects to be their field of study.
You can also consider going for a Chartered Financial Analyst Program to acquire the technical acumen need to shine brightly in this domain of industry.
What are the various Analyst positions available?
The role of a financial analyst varies based on the type of organization it is associated with. Analysts are hired by an extensive category of the institution and their jobs are segregated based on these categories. They are as follows:
- Investment firms, these professionals either work for the sell-side or a buy-side investment firm. Buy-side firms deal with their own in-house funds. The major role of an analyst in these categories of companies is to look for profitable stocks to add in their funds. They manage and keep a track of the stock in the companies’ portfolio.
The experts working for the see-side firms examine and evaluate the quality of securities available in a given industry. The analysts prepare reports based on this analysis making a suggestion for financial transactions occurring within an organization. You can get updated jobs via job alert services provide by various protals.
- Banks, the role of these professionals extend beyond mere accounting. You are expected to work with other departments and business units in order to take vital financial decisions. Their work encircles analyzing IPOs, mergers, and acquisitions. The role depends heavily on forecasting, modeling and analysis tools to speculate about the businesses.
- There are sub-categories within these broader categories. There exist analysts who are proficient in analyzing equities or fixed-income instruments. Analysts also specialize in a particular sector or industry such as in energy or technology.
Skills you need to be proficient in:
- These professionals need to be extra careful while collecting information about the various macroeconomic parameters along with the fiscal information about different companies. They need to be well-versed with the balance sheets. In order to have the competitive edge, these experts should read a lot of financial reports and journals to be aware of the latest financial developments.
- Travelling is also an integral part of this job role. These professionals need to travel and network with other companies to have a look on their ground level operations.
- They also need to be a part of the conferences and seminars that offers equivalent learning.
- They need to be well-versed with the data handling software, spreadsheets, statistical tools, graphics, and databases in order to make accurate report and presentations.
- They need to comprehend the monetary transactions going within the ambit of the organization, verify the records for compliance purpose and notify them in simple words to the necessary entities within the business.
Analyst, if they have the right potential and skills can have great advancement opportunities. They report to the portfolio manager or other top management in the entry level. The junior analyst can be promoted to the level of senior analyst based on his performance and expertise. Analysts also tend to become consultants or advisors in the future.
Therefore, it is tough to break into the field of financial analysis. You need to prepare seriously giving a certain amount of effort. It will not only be entitled you to some financial rewards, however, it will give you the opportunity to be a part of the internal landscape of the business.