Last updated on March 29th, 2024 at 09:36 am

Is learning financial analysis hard? These 5 tips will make it easier

Being skilled in financial analysis is a dream statement for almost everyone looking to refurbish their resumes or even bring it up in casual conversation. Well, financial analysis is the current hot-selling cake. Everyone you know wants to have a piece of it. So, let us try to decode the meaning of the term. 

What is financial analysis? 

Simply put, financial analysis is about gaining insights into an organisation’s financial information. No matter your role in your company, it is a highly valued skill. When we say that someone is a master at financial analysis, we mean that they can analyse the company's financial statements and contextualise them into the broader market space. It further helps the person arrive at strategic business decisions once they have a grip on the numbers. Financial analysis is hence considered to be a top skill when it comes to managerial decision-making. 

If you are someone who does not have a background in finance, there is absolutely no reason to worry! There are several methods through which learning this skill can be simplified for you. 

Essential skills for practising financial analysis: 

• Ability to read and interpret financial statements, which include the cash flow statement, income statement and the balance sheet 
• Each of these statements carries information vital to understanding the financial health of the organisation 
• Computation of critical financial ratios which come in handy to compare trends within the same or similar industries 
• Producing actionable insights through the information presented by the economic data
• Comparing the organisation's position with the growing market trends and positioning forces into action so that future movement can be forecasted 

Here are the five tips to make learning financial analysis easier: 

• Earn a degree in the field of finance:

It is a smart move to have a background in finance if you want to excel in financial analysis. The CFA Course in India is gaining a lot of popularity. The exams for the course are being held locally due to the ongoing pandemic. You can also opt for a Bachelor’s degree in finance or its related field. Chances of landing your dream job may increase after pursuing an MBA or applying for the CFA certification, as it is regarded as the standard gold degree in finance. 

• Opt for an online course or certificate program:

CFA will provide you with the CFA charter holder after completing four years of work experience in finance. You do not have to worry about attending physical classes as learning in an online certificate program is self-paced. The financial analyst training and placement are facilitated by the financial analysis prodegree, which powers tech-enabled learning. The learning management system (LMS) hosts all the study material on a single platform. You can prepare your schedule and track your learning accordingly. 

The financial analyst training and placement program provides end-to-end support through resume building, LinkedIn profile building, and mentorship sessions. You will be job-ready after the completion of the course. Leading industry experts teach the vast curriculum with rich experience working in actual markets. The program is interactive and competitive and will help you build on your quick thinking abilities. 

The program includes accounting and financial modelling courses. It also covers valuation and corporate strategy modules along with equity research and M&A. It offers a comprehensive curriculum in terms of learning. The financial analyst training and placement program will assist you in preparing for job interviews and selecting a profile best suited to your skills. 

• Learning from real-life examples:

The expert faculty holds a significantly impactful experience in the market. On-ground experience is a lot different than learning a skill in the classroom. The financial modelling courses they teach will also come with examples of how it helps them on the job. Real-world examples will guide you to apply the skills and develop your critical thinking abilities. 

• Gain a hands-on exposure:

The simulations and case studies forming part of the curriculum will help you implement and practise essential concepts. Taking up challenges at work is going to be a routine, so understanding the financial data in-depth and assessing its impact on a company's performance will help shape you as a financial analyst. 

• Leveraging your network and participating in finance conferences:

Learning from industry leaders’ experiences is a great way to kickstart and build a career. Make sure you gain financial analysis tips by utilising your professional network well. Hence, ensure that you are enrolling yourself as a part of the financial analyst community. 

Conclusion

Financial analysis skills help organisations gain a competitive advantage in the market. Whether deciding on a new hire or assessing the latest market campaign’s impact on the business, financial analysis is needed everywhere. This is by far the best investment you can make for your career. As we can see the country's rapid growth and demand for financial analysts, the time to learn the skill is now!

To learn more about the financial analyst prodegree, you can contact us through chat support or drive to our training centers in major Indian cities, including Mumbai, Thane, Pune, Chennai, Bengaluru, Delhi, Gurgaon, and Ahmedabad.