Contact Us
×

Tag: Financial Analysis Course

What are Disadvantages and Advantages of Financial Statement Analysis?

Posted on by Imarticus Learning

Companies choose different processes to be profitable, safely increasing their productivity. One of the safest ways is the analysis of financial statements; its use makes it easier to respond to possible problems. The advantages of financial statement analysis in a company include the fulfillment of the business plan, such as better communication within the company and increased productivity.

The objectives of financial analysis is to generate financial statements that are true statements of the company’s health. Financial documents and statements must be prepared and published on a yearly, quarterly, biannual, and monthly basis.

What is Financial analysis? 

Financial statement analysis covers a company’s operational budget, assets, expenses, liabilities, earnings, and the net worth of liabilities and assets. Financial analysts, accountants, and planners use these statements to enable decision-making expansions, future planning, fundraising, and market launches among others. However, there are bound to be some disadvantages too. Let us explore them.

Financial Analyst course

Advantages of Financial Statement Analysis 

Pattern Detection and forecasting: The importance of financial analysis lies in its ability to reveal earnings per year, sales, and profits accrued. Though sales figures may vary, financial planners will be in a position to find a correlative pattern over a few years of sales data. Take the example of a company that may reveal a trend of sales increases whenever new products are marketed and released. Sales could drop after, let’s say, a year of the product launch. The advantages of financial statement analysis are huge for companies, as it forecasts a market life of about a year, which is useful as it shows sales patterns for product launches, a sales drop after a year, and a need for new products in a year.

Budget Outline in Real-Time: Decision-making for planning the future, budget estimations, corrective actions required for efficient budgeting, and more such decisions are some of the aspects that add to the importance of financial analysis. One of the advantages of financial statement analysis is that it reveals how much you can spend on marketing or product launches, strategizing for marketing campaigns, future expansions, and requirements for funding. 

Disadvantages of Financial Analysis 

Based on the patterns of the market: A big disadvantage of financial statement analysis and use for making strategic decisions is that it is based on figures and data on current market conditions, which may fluctuate. Past performance is a good indicator and motivator. It cannot, however, guarantee fluctuations and future demands. A cautious approach is needed as part of the objectives of financial analysis for the interpretation of financial ratios and statements to prevent excessive risk-taking based purely on forecasts.

Analysis of At-One-Time basis: As the name suggests, the forecast and analysis are applicable at that time only. It does not reveal or compare the past performance or future forecast at one glance. One will need to exercise caution by generating and reporting continuously rather than on a one-time basis. Such extrapolation of data and financial analysis undertaken frequently is crucial to the company’s health and decision-making abilities.

Why study financial analysis?

Consider getting a finance certification so that you will understand the advantages of financial statement analysis better.

Course skills and requirements

A graduation degree or even a Master’s in Finance goes a long way. Add relevant certifications. Those from a non-financial background can also take these courses, as most offer boot camps to understand what is financial analysis.

Course advantages: The course offers a good grasp of basics, concepts, theoretical knowledge, practical skills, and finance certifications that could help enhance your resume and career.

What are the Uses of Financial Analysis?

Posted on by Imarticus Learning

What are the Uses of Financial Analysis?

The financial analysis basically indicates the usage of financial data to assess the performance of a company and recommend how things can be improved in the future. The primary role of a financial analyst is to work in an excel sheet used for analysing historical data and accordingly make projections based on their perception of how the company will perform in the near future.

Four important types of financial analysis in an organization

1) Based on the material used :
(a) External analysis – This analysis is performed by people who are not directly associated with the firm and don’t have right to access the in-house accounting records of the company.
b) Internal analysis – This analysis is conducted by people who have permission to handle the in-house accounting records of a firm.

2) Based on modus operandi :
(a) Horizontal analysis – This refers to the evaluation of finance related data of a firm for many years. The figures in this type of analysis are reflected horizontally across many columns.
(b) Vertical analysis – This indicates the study of the connection of the different items reflecting in the financial statements in an accounting period.

3) Based on entities involved :
(a) Inter-firm analysis – This deals with the assessment of financial data of particular firm with its competitors in the same industry for a similar time frame.
(b) Intra-firm analysis -This analysis includes the assessment of the performance of a firm in for a definite period of time.

4) Based on the objective of analysis or time horizon :
a) Short-term analysis – This calculates the firm’s liquidity position, i.e. the ability of the company to meet its present needs.
(b) Long-term analysis – This involves the study of a firm’s capacity to meet the repayment schedules and interest costs in the long-term. Factors like profitability, solvency and stability are measured with the help of this analysis.

Different Uses of Financial Analysis

The various uses of financial analysis are as follows:

  •  Analysis of financial statements – Whenever a firm is interested in investing in a small business, the financial analysts then examines its past and present financial statements. The idea here is to determine the probable weaknesses and problem areas if any,to be discussed with the other company owners.
  • Ratio analysis – This helps in comparing values within the company against other companies and the industry every year. It includes the liquidity ratio, debt ratio, etc. Business owners and management teams might use ratio analysis in their day-to-day planning to measure where they stand in the industry. If the ratio analysis shows that the company has more debt than other businesses in the same industry, the owner might be encouraged to pay off or reduce some loans.
  • To analyse future performance – Financial analysts assist small businesses in their future planning. This planning involves the evaluation of the company’s income statement, balance sheet and cash flow statement. This helps in interpreting the trends and identifying the strengths and weaknesses. By following the trends of the general economy the analyst can estimate how well the company will be able to fare in the coming years. Accordingly, they can plan the equipment to be purchased and take other initiatives.
  • Making investment decisions – Expert financial analysts are able to make investment decisions and recommend ideas based on sound reasoning. Every company should have dedicated financial analysts who would keep a watch over the strengths and weaknesses of the company and advise the management accordingly. In some cases, they can also hire the services of financial consultants on a periodic basis.

Conclusion

Apart from financial managers, people from other walks of life can use financial analysis for their benefit. A credit manager can use it to examine the basic financial ratios of a prospective customer to decide whether to extend the credit limit. A security analyst uses it to help assess the investment value of securities.

For a banker the tools of financial analysis aids in deciding whether to sanction loans. Similarly, unions use it for evaluating the position of certain employers and students analyze it to determine their career opportunities.

 

What is BEDMAS and how does it work?

Posted on by Imarticus Learning

Financial ratio analysis is a crucial tool used by investors, analysts, and business owners to evaluate the financial performance & health of a company. It involves using a set of ratios to analyze various aspects of a company’s financial statements, such as its profitability, liquidity, and solvency. However, to perform accurate financial ratio analysis, it is paramount to have a solid understanding of mathematical concepts, including BEDMAS.

BEDMAS, or Brackets, Exponents, Division and Multiplication, and Addition and Subtraction, is widely used to help individuals perform calculations correctly and consistently.

Financial modelling techniques

In this informative post, we will dive into the basics of BEDMAS and explore how it works. Additionally, we will also explore the importance of following the order of operations in financial analysis. So, whether you are a finance professional or just starting out, this post will give you the knowledge and skills you need to master BEDMAS in financial ratio analysis.

Understanding BEDMAS. 

BEDMAS stands for Brackets, Exponents, Division and Multiplication, and Addition and Subtraction. It is an acronym used to remember the order of operations in mathematics when evaluating expressions. According to BEDMAS, you should perform the calculations in the following order:

  1. Brackets: Perform any calculations inside brackets first.
  2. Exponents: Evaluate any exponents (i.e., powers, such as 2^3).
  3. Division and Multiplication: Perform any division or multiplication, working from left to right.
  4. Addition and Subtraction: Perform any addition or subtraction, working from left to right.

By following BEDMAS, you can ensure that mathematical expressions are evaluated consistently and accurately. Furthermore, it helps to avoid common mistakes and promotes standardization in mathematical calculations, which can be especially important in fields such as finance, where accuracy is crucial.

How does it work?

BEDMAS works by providing a clear set of steps for evaluating mathematical expressions. When you encounter an expression, you start by performing any calculations inside brackets, then exponents, followed by division and multiplication, and finally, addition and subtraction. This systematic approach helps to eliminate confusion and reduces the likelihood of making mistakes.

For example, consider the expression 2 + 3 x 4. Without BEDMAS, it is unclear whether the addition or the multiplication should be done first. But with BEDMAS, we know that we should perform the multiplication first, so the expression becomes 2 + 12 = 14. By following the steps in order, we can ensure that the expression is evaluated consistently and accurately every time.

Importance of following the order of operations in financial analysis.

It is true that the order of operations plays a crucial role in financial analysis, as it ensures that all calculations are performed consistently and accurately. By following BEDMAS, financial analysts can avoid common mistakes and ensure that their calculations are reliable and free from errors.

  • Ensures accuracy: By following BEDMAS, financial analysts can be confident that their calculations are accurate and free from mistakes. This is important in finance, where even small errors can lead to significant inaccuracies in financial ratios and projections.
  • Promotes standardization: Following BEDMAS promotes standardization in financial analysis, which is crucial in a field where reliable and comparable data is essential.
  • Supports informed investment decisions: By providing accurate financial ratios, following the order of operations supports informed investment decisions, which can help investors make better decisions and avoid costly mistakes.
  • Enhances communication: When financial analysts use BEDMAS in their calculations, others can understand their methods and results more easily. This promotes clear and concise communication, which is essential in finance.
  • Facilitates comparison: Following the order of operations in the financial analysis allows for comparisons to be made between companies, industries, and market trends. This can provide valuable insights and help inform investment decisions.
  • Reduces risk of error:  Analysts who follow BEDMAS will have a clear understanding of the order in which calculations must be performed, reducing risk and helping ensure that investment decisions are based on accurate information.

Learn Financial Analysis with Imarticus Learning.

Financial ratio analysis helps you develop a well-rounded skill set that will allow you to evaluate financial statements and make informed decisions about real-world companies. Plus, the principles you’ll learn in the financial analysis course will help you to become a more well-rounded analyst, capable of analyzing any company across industries.

Course Benefits For Learners:

  • Through financial analyst interview preparation, you’ll be able to answer interview questions with confidence and ease, making a strong impression on your potential employer.
  • You will gain a solid understanding of financial analysis concepts, including BEDMAS, which will help you in your career as a financial analyst.
  • You will learn how to evaluate financial statements and ratios, making you a more informed and effective decision-maker.

Financial Valuation: How to get started as a fresher

Posted on by Imarticus Learning

Are you a fresh graduate ready to take on the world but unsure where to start? Trying to figure out how best to manage your finances and become financially independent can be overwhelming.

One of the first steps in becoming aware of your financial situation is conducting a financial valuation, whether you have investments, loans, or any other type of debt structure, such as stocks or bonds – understanding their value and how they fit into your overall picture can be pivotal in finding success throughout your career.

Here we will offer a comprehensive guide for freshers to understand financial valuations and what it’s all about so that you are better prepared for long-term success!

What is financial valuation, and what does it involve?

Financial Analysis Course

Financial valuation is estimating the current monetary value of an asset or group of assets. It involves calculating their fair market value and assessing potential risks and rewards.

The goal of financial valuation is to provide investors and decision-makers with a realistic understanding of the investment’s worth and help them make more informed decisions. You can use it to evaluate assets such as stocks, bonds, real estate, businesses, and mutual funds.

Financial valuation typically involves gathering data from various sources, including financial statements, company reports, industry news, and analysis. This information is then compared to market data for similar investments to estimate their worth accurately.

Why is financial valuation important?

A financial valuation can be a powerful tool for investors and decision-makers alike.

  • It can help them assess the potential risks and rewards associated with their investments, as well as provide a better understanding of the true worth of those investments.
  • Financial valuation also provides insight into future market trends, allowing investors to adjust their portfolios accordingly. 
  • It’s an invaluable tool that can play a crucial role in helping you manage your finances and reach your financial goals.
  • A financial valuation can also help to identify areas of risk and reward, enabling investors and decision-makers to make more informed decisions. 
  • It can provide valuable insights into the potential performance of a specific investment and help determine whether or not it is worth pursuing.

For freshers, it is crucial to understand the basics of financial valuation and how to use it to make more informed decisions. Now that you know what financial valuation is and why it’s important let’s look at some tips to help you get started as a fresher.

Tips for Financial Valuation as a Fresher

  • Become familiar with financial terminology and concepts. Knowing the basics of finance and investment will help you better understand financial statements and company reports.
  • Read industry publications to stay up-to-date on market trends. This can help you understand how investments are performing in the current environment.
  • Develop a portfolio strategy that works for you. Developing a portfolio strategy that fits your needs and risk tolerance is essential to finding success with financial valuation.
  • Utilize online resources and tools such as those offered by FinTech companies. These can provide valuable insights into the performance of different investments and tips for optimizing your returns.
  • Seek professional advice. Working with a financial advisor is beneficial if you start, as they can provide valuable guidance on the best investments for your situation.

By following these tips, you’ll be well on your way to becoming financially savvy and successful in your venture into financial valuation!

Advance Your Career as Financial Analyst with Imarticus Learning

With Financial Valuation training, you can sharpen your skillset by diving into real-world valuation procedures and learning how to analyze financial statements. Plus, you master modeling methodologies, so you’re ready to get out there – cashing in on all of that knowledge!

 Course Benefits For Learners:

  • Students will also learn financial analysis skills to give themselves a competitive edge in the job hunt for positions within the finance industry.
  • Once you’ve become a financial modeling expert, you can impress potential employers and showcase your skills.
  • Through online financial analysis training, learners can obtain the knowledge and skills necessary to become financial analysts.

Visit our training centers in Mumbai, Thane, Pune, Chennai, Bengaluru, Delhi, Gurgaon, or Ahmedabad, or get in touch via a chat support system.

Are You Preparing Financial Statements for Your Business? Read on

Posted on by Imarticus Learning

Are You Preparing Financial Statements for Your Business? Read on

Financial statements are a vital part of any business. They tell you how your business is doing financially and can help you make decisions about your company’s future. Now is the ideal time to begin preparing financial statements for your company!

This blog post will discuss financial statements and their importance to businesses. We will also give you a few tips on preparing them correctly.

Why are financial statements crucial for businesses?

Financial statements are a vital part of any business, large or small. They provide insight into a business’s financial health and can be used to make significant decisions about where to allocate resources.

There are three types of financial statements: 

  • The balance sheet
  • The income statement 
  • The cash flow statement

Each one provides different information about a company’s financial position.

  • The balance sheet shows a business’s assets, liabilities, and equity. This information can help you assess a company’s financial stability and ability to repay debts.
  • The income statement shows a business’s revenue and expenses over a period of time. This information can determine the profitability and cash flow of a company.
  • The cash flow statement displays cash inflows and outflows over a period of time. This information can help assess a company’s liquidity and how well it can meet its financial obligations.

Financial statements are important because they provide a snapshot of a company’s financial health. You can use this information to make decisions about where to allocate resources.

Financial statement preparation can give you a comprehensive view of a company’s financial position and help you make informed decisions about its future.

Tips on creating accurate and informative financial statements for your business

As a business owner, you are responsible for ensuring that your financial statements are accurate and informative. Financial statements provide valuable information about your company’s financial health and performance. 

Some tips to help you prepare accurate and informative financial statements:

  • Make A Sales Forecast: A sales forecast estimates future sales. It is essential to have a sales forecast because it helps you plan for your business’s financial needs. With a sales forecast, you may have enough money to meet your business’s financial obligations.
  • Know Your Budget: A budget is a plan that shows how you will use your company’s financial resources. It is crucial to have a budget because it helps you control your company’s spending. Without a budget, you may overspend and get into financial trouble.
  • Keep Accurate Records: Accurate records are essential for preparing accurate financial statements. Make sure you keep track of all income and expenses. This will help you identify trends and make informed decisions about your company’s finances.
  • Understand Financial Ratios: Financial ratios are a way to measure your company’s financial health. They can help you identify problems and track your progress over time.
  • Evaluate Your Assets and Liabilities: To calculate your company’s net worth, you must account for all money owed to you (accounts receivable), inventory, land, buildings, and equipment in the profit and loss statement. Furthermore, you have to estimate how much cash flow your business will have month-by-month.

Learn financial analysis course with Imarticus Learning

This finance course with placement will teach students about financial statement analysis, modeling methodologies, and valuation procedures. It will help them to learn practical information and develop essential skills.

Course Benefits For Learners:

  • Additionally, learners will gain essential abilities to aid their employees in the financial industry.
  • Once you have mastered financial modeling, you can demonstrate your abilities to potential employers.
  • Through online financial analysis training, learners can acquire the knowledge and abilities required to become financial analysts.

Visit our training centers in Mumbai, Thane, Pune, Chennai, Bengaluru, Delhi, Gurgaon, or Ahmedabad, or get in touch via a chat support system.

Learn Financial Analysis Fundamentals With This Course

Posted on by Imarticus Learning

Financial accounting is a significant aspect of the corporate world, from business to investment. It is the process that evaluates and determines the performance and sustainability of a company, project, budget or other finance-related transactions. In addition, financial analysis is typically used to calculate the stability and profitability of a business before investing. 

A financial analyst is an individual who has to assess economic trends, develop policies and identify projects for investment or long-term business activity. So, if you are planning to learn financial analysis, read more about this domain.

The Importance of Financial Analysis

Finance is a tricky business area that must be dealt with caution and precision. Analysing the financial statements of a company or project is crucial before investing. Financial analysis is necessary to calculate the profitability of a prospect. This helps in avoiding losses when it comes to business or investment.

About the Financial Analysis Prodegree by Imarticus

In collaboration with KPMG, Imarticus brings a financial planning and analysis course that is career-focused and all-encompassing in this domain. This course is essential in understanding finances and developing a specific skill set.

Key highlights of the Financial Analysis Prodegree:

  • Experiential learning, i.e. industry-oriented practical curriculum supplemented by six real-world projects.
  • Live training by senior faculty and experts from KPMG India to make your learning exciting and interactive.
  • Tech-aided instruction
  • The LMS gives access to all course material and self-paced videos on one convenient platform.
  • Career mentorship comprises mock interviews and creating resumes.
  • Syllabus designed in association with KPMG to ensure industry-aligned learning.

best financial analyst course

This is the perfect finance course with placement offers. The Financial Analysis Prodegree is a 180-hour course that will last for 13 weeks. It includes 25 hours of training by KPMG experts and dedicated placement assistance throughout the program.

Curriculum Highlights:

  • Week – 1-5: Accounting and financial modelling
  • Week – 6-9: Valuation and corporate strategy
  • Week – 10-13: Equity research, M&A, job readiness

Significance of the Financial Analysis Prodegree

Since finance is one of the most vital aspects of business, every student in this domain must acquire skills to enhance his/her career. With its practical learning module, the Financial Analysis Prodregree by Imarticus places the acquisition of skills as its top priority. In addition, exposure to six industry projects will hugely help the students to gain confidence and improve their resumes.

In this course, there will be 25 hours of training by KPMG experts through live sessions. These sessions will add value to their knowledge as well as provide motivation. Moreover, Imarticus uses the latest technology to make classes interactive and exciting.

Speaking of technology, Imarticus has formulated an advanced LMS to provide students with the best possible educational experience. All the classes remain recorded and available, which the students can play at their convenient speeds along with reading through the study materials. 

The career services at Imarticus allow students to seek real-time guidance from experts. The mentors are there to resolve any career-related query and provide one-to-one sessions. In addition, experts will guide the students through mock interviews and advice on resume building to allow smoother placement opportunities. 

Imarticus is also leading in its placement options. This skill-based learning with real industry projects will boost the students’ confidence and will increase the chances of placement. They can also expect substantial assistance when it comes to placement opportunities. Imarticus alumni are currently working at companies like Accenture, Wipro, Royal Bank of Scotland, Standard Chartered, Infosys and other reputable organisations.

In a nutshell, this course will enable you to understand fundamental accounting concepts, read and analyse a company’s balance sheet and financial statements, and build a financial model. In addition, you will have industry certificates that testify to your financial skills and boost your resume. Enrol in this course and get an additional chance to be placed at one of the top business and finance firms.

To sum up, the Imarticus Financial Analysis Prodegree is an ideal course to not only learn financial analysis but also transform your career into various roles in finance. With great placement opportunities, this course is the ideal destination for students looking for a career in business and finance. The collaboration with KPMG makes this course more inviting and worthwhile. The first-hand experience will also help avoid any mishaps in your monetary decisions going forth. 

Related Articles 

7 Investing Tips My Financial Analyst Dad Gave Me

Love financial analysis and accounting? Become a pro in 2022

Posted on by Imarticus Learning

Love financial analysis and accounting? Become a pro in 2022

Do you love financial analysis and accounting? Have you always thought of becoming a pro in this field? If so, 2022 is the year for you! The rise of financial analysis and accounting is happening right now, and there is no better time to get started than the present.

Financial analysis and accounting are used almost in every business decision. Financial analysts play an important role in making sure that your businesses run efficiently and profitably. Not only do financial analysts assess a company’s financial statements, but they also offer recommendations on how to improve financial performance.

So, If you’re thinking of a challenging and rewarding career, then financial analysis and accounting is the perfect field for you. With the right training, you can become a pro in this exciting and growing industry.

In this post, we will discuss why Financial analysis and accounting are on the rise and why you should pursue it as your career choice.

Why Financial analysis and accounting is on the rise?

The financial analysis and accounting industries are growing rapidly. The global economy is increasingly complex. As businesses become more international, there is a greater need for financial analysts who can understand and interpret financial data from around the world. 

Also, it is true that businesses are under more pressure than ever to be efficient and profitable. So, Financial analysts play a vital role in helping businesses to cut costs and improve financial performance.

Apart from this, financial analysis and accounting play a crucial role in investment decisions.

Why should you pursue it as your career choice?

Financial analysis and accounting offer a challenging and rewarding career. If you are thinking of a career that will allow you to use your analytical and problem-solving skills, then financial analysis and accounting is the perfect choice for you. 

Here are the reasons why so:

A growing industry with immense opportunities:

training and development

No doubt, it is one of the fastest-growing industries with immense opportunities. You can become a financial analyst, accountant, or even a financial manager. Also, the best part is that the job outlook for financial analysts is expected to grow, and it is surely a great time to enter this field.

Well-paid career:

It is no secret that financial analysts and accountants are some of the highest-paid professionals in the world. You will be amazed, or you can say surprised, to know that the median salary for financial analysts is much more than that of other professions.

Prestige and social status:

Financial analysts and accountants are highly respected professionals. They are often seen as financial experts and are consulted on a wide range of business decisions. So, if you are looking to make a difference in the world of business, then financial analysis and accounting is the perfect career choice for you.

Discover Financial Analysis course with Imarticus Learning.

The financial analyst certification course covers a broad range of subjects, including valuation procedures and modeling methodologies. It allows students to gain a comprehensive analysis of the financial sector and provides a strong foundation to become a financial analysis and accounting pro. 

Course Benefits For Learners:

  • Learners will gain important skills that are valued in the financial sector.
  • Learn Financial analysis with expert instructors who have years of experience in the field.
  • Once you’ve mastered financial modeling, it’s easy to make a strong impression on potential employers and showcase your hard work.

Visit our training centers in Mumbai, Thane, Pune, Chennai, Bengaluru, Delhi, Gurgaon, or Ahmedabad, or get in touch via a chat support system.

Understanding Python for Financial Analysis and Algorithmic Trading

Posted on by Imarticus Learning

The field of finance is as interesting, dynamic, and innovative as it gets. There are always new trends shaping the technologies under development, as well as those that have been around for a while. For people who are eager to learn financial analysis, there are countless opportunities in presential, online, and hybrid modes.

While financial theories are not something new, enrolling in a financial analyst course online, or in presential or hybrid modes, will allow you to understand in depth the mechanisms that affect the performance of projects, companies, budgets, and different financial transactions.

Just like any other field, the area of finance has had to evolve in order to keep track of the latest disruptive factors around the world, which is what has led to the progressive adoption of python as a tool for data processing and extraction. Not only has it permitted the improvement of existing procedures, but it has allowed the development of new techniques that provide more accurate and reliable results.

What is Python?

If you are new to all of this, you might be wondering what on Earth is python and why does it sound like a fascinating, magic solution for financial analysis. Well, the first thing to note is that financial analysis is not the only playground for python and that it has been an incredibly useful and powerful asset in numerous disciplines.

Python is a programming language whose flexibility and simplicity have turned it into the go-to option for software development, particularly in Fintech. It is easily readable, and its conciseness helps developers save time and effort when coding.

What is financial analysis?

Now that the first item on the list is clear, let’s pass to the second one and define financial analysis. This process consists of evaluating the appropriateness and the performance of financial transactions, businesses, budgets, among others, with the aim of determining its stability, solvency, profitability, or liquidity, in order to decide whether it is worth investing in it or not.

One way of learning all you need to know about financial analysis is signing up for a financial analyst course online from wherever you are! Although this would not compare to a bachelor’s in finance or economics, it will certainly give you practical knowledge and know-how in the area.

After having acquired significant expertise in financial analysis, one could also aim to be designated a chartered financial analyst (CFA) after taking a CFA course in India, or wherever you live. This evaluation will test your understanding of financial mechanisms and fundaments, asset valuation, wealth planning, and managing portfolios.

What is algorithmic trading?

The third and last term to go through corresponds to algorithmic trading. This process comprises the place of trade through an algorithm, which allows to increase revenue and save time. Why? Because algorithms are able to take human emotions out of the equation and make sounder decisions when placing the trades, apart from doing it at higher frequencies, increasing revenue over a defined period of time.

How can python be used for financial analysis and algorithmic trading?

As you can imagine now, python is an excellent tool for programming the algorithms used in algorithmic trading, and for analyzing the stock market, as it allows the financial analyst to handle large sets of data and to extract relevant information faster and more efficiently.

Fintech is just one of the many fields where python is leading change and allowing for improvements to take place across the globe. Whether we got you with the CFA course in India idea, or you were already determined to learn financial analysis, this is a promising path to follow.

What Financial Analysts Look at While Generating Forecasts

Posted on by Imarticus Learning

There is a lot to consider when it comes to forecasting, and that’s why financial analysts spend a significant time determining what data sets are most impactful in their forecasts. Financial analysts often look at stock prices, economic indicators such as GDP growth rates, the unemployment rate, and consumer sentiment index before making predictions about future events. They also compare current conditions against past trends for clues about where things might head next.

 Forecasting is an art and science.

Taking accurate measurements and inputting this data in a forecasting model is crucial to producing an accurate forecast. It, however, does not always provide correct estimates because they can sometimes be too broad or too narrow. The input data can also be inaccurate or outdated, which can alter the entire forecast.

There are three standard views of what makes a forecast:

1) A forecast is a statement made at the time “T” about an event that will occur at a time “T+n.”

2) A forecast is a statement about the value of a variable in the future.

3) A forecast is just one possible outcome, given the information currently available.

Typically, Financial Analysts use forecasts as part of their valuation process to help assess what values are reasonable for key variables used in their analysis.

Factors to consider while generating forecast:

1) What is Forecasting?

Typically, forecasts are about revenue, earnings per share (EPS), future dividends, or cash flows.

2) How Frequently is the Forecast being Made?

Most forecasts utilize regularly. One example would be financial analysts who use quarterly sales estimates for each firm within their coverage universe to make buy/sell recommendations to their clients.

3) Who makes the forecast?

The individual who generates the forecast can (and should) affect its reliability. A seasoned financial analyst will often generate more reliable estimates than a novice analyst.

4) Is there a Methodology Used to arrive at the forecast?

There should always be a rational methodology behind any forecast used in valuation:

  • A correlation between two variables
  • The expected future growth in a variable (i.e., revenue or EPS)
  • A regression analysis of historical data that plots the predictor against the predicted

5) How are Data Being Collected?

Many analysts use forecasts based upon past performance, which can be unreliable if used for an extended period. An example would be new management instituting changes that reduce costs or increase revenues, improving future cash flows.

6) What is the Liquidity of the Asset?

It would be best if you considered the liquidity of an asset:

  • How easy is it to sell at market value?
  • Are there restrictions on its sale?

Explore and learn with Imarticus Learning

This financial analyst certification includes hands-on training with leading technologies, including APIs, Blockchain, Cloud Computing, AI, Machine Learning, RPA, IoT, and Big Data.

Some course USP:

  • This financial analyst course aid the students to learn job-relevant skills that prepare them for a career.
  • Impress employers & showcase skills with the best online finance courses endorsed by India’s most prestigious academic collaborations.
  • World-Class Academic Professors to learn from through live online sessions and discussions. It will help students understand the 360-degree practical learning implementation with assignments.

Contact us through the live chat support system or schedule a visit to Mumbai, Thane, Pune, Chennai, Bengaluru, Delhi, Gurgaon training centers.

Aspire to Become a Financial Analyst? Start with These Financial Modelling Courses Today

Posted on by Imarticus Learning

Financial analysts are a vital part of the financial world. They work with companies and individuals to determine their economic status, assess risk, and analyze company performance. It’s a demanding job that requires dedication and intelligence. But what do you need to know before embarking on your journey? This post will tell you everything you need to know about becoming a Financial Analyst, so read on!

A financial analyst provides advice and support to senior management with their decision-making. They are responsible for calculating various finance-related equations based on company data. The role involves analyzing past performance and predicting future outcomes to guide strategic planning.

Who is a financial analyst?

The term ‘financial analyst’ has become a common phrase in today’s corporate world. Companies worldwide are looking for people with this specific expertise who can handle and manage their finances appropriately. There is a high demand from financial firms, banks, mutual funds, insurance companies, and other stock market-related organizations. It has become a well-sought-after career path, and the numbers don’t seem to be slowing down anytime soon.

Role and responsibilities of the financial analyst:

Becoming a financial analyst means you will be working with senior managers to make informed decisions. You will also need intense research, analytical and mathematical skills.

On the other hand, it is highly challenging to land a job as a financial analyst because of the high demand for these roles. You must have the right qualifications and experience before you apply. Merely having a degree in finance isn’t enough; you also need practical experience and knowledge of the industry. The roles and responsibilities are listed below:

  1. Monitor financial activities to ensure they are following guidelines laid down by the company
  2. Analyze data and status of a business, its finances as well as sales and other performance indicators
  3. Identify problems or areas for improvement and suggest plans to overcome these shortcomings
  4. Prepare reports which summarize their findings and present them to senior management for further action
  5. Use various financial tools and models to determine the current state of the business, its past performance as well as future potential

Enroll in a Financial analyst course with Imarticus Learning today!

If students aim to become financial analysts, here’s their golden opportunity. Imarticus Learning is training professionals from all industries and backgrounds to take up this profession easily through our advanced financial modeling certification. We understand the importance of learning from experts in various industries for years and putting that into practice by having our faculty members have years of experience in the corporate world.

Some course USP:

  • This 180+ hour skill-building program develops competence in a variety of crucial finance operations.
  • The program provides the student with an endorsed curriculum, excellent professors, and practical learning.
  • Financial statement analysis, modeling and valuation, equities research, deal execution, and Excel and PowerPoint are skills students will need.
  • The best learning outcomes demonstrated to come from live assisted instruction.
  • This financial modeling course for students is with placement assurance aid the students to learn job-relevant skills.
  • Impress employers & showcase skills with the financial analyst course endorsed by India’s most prestigious academic collaborations.
  • World-Class Academic Professors to learn from through live online sessions and discussions.

Contact us through the chat support system or visit Mumbai, Thane, Pune, Chennai, Bengaluru, Delhi, Gurgaon training centers.