What do you need to learn to become a Financial Analyst?May 4, 2019
At the onset of your career as a junior analyst, you will need to enhance your proficiency in database usage, spreadsheets, presentations in PowerPoint, other relevant software applications and Microsoft Excel. Senior analysts will, however, have to work on the crucial aspects of presentation skills, long working hours, mentoring juniors effectively, and building interpersonal relationships.
A financial analyst career requires long working hours, preparation and a flair for financial analysis. Other than job-satisfaction, the career provides excellent payouts and a horde of opportunities.
Foundational graduation in Finance, economics, statistics, etc would be very desirable. Most courses provide boot camps for those who do not have a finance background. Based on your plans, specialization choices, eligibility, and resources various courses provide certification. The most coveted of these is the CFA certification. You could also take up the Series 63 and 7 exams for accounting practices and investment terms in the US known as SIE certification (Securities Industry Essentials).
One will require non-technical and non-transferable skills like
- Good quantitative skills.
- Great problem-solving skills.
- Grasp on use of inferential logic and an innovative approach.
- Good presentation skills.
- Above average reporting and data skills.
- Great communicative ability and Interpersonal skills.
- Team skills that are both collaborative and communicative.
- Ability to sustain when working long hours under demands, pressure, and ambiguity.
- Integrity and discipline.
- A quick absorptive learner for financial interpretations without SOPs.
- Microsoft Excel and VB Macros
- Use of data analysis techniques and manipulations in software
- Fundamental accounting concepts
- Financial statements analysis with forecasting, inferences, and valuation
- Use and creating financial models and tools like bar graphs, charts, etc
- Presentation capacity in Excel with data visualization charts
- Preparing accounting statements like cash flow, balance sheets, income, and working capital statements.
- Ratio analysis interpretation and preparation.
- Frameworks for comparative multiple-companies performance analysis.
- Forward financial models, ratios, and integrated statements
- SWOT analysis
- Techniques of Discounted-Cash-Flow valuation
- Best practices in valuation applied to real-time multiple databases of company data
- SQL and PowerPoint
Types of Analysts:
The financial analysis field offers many career routes and titles. The main areas are in:
- Investment banks
- Investment firms on buy-side.
- Real estate sector
- Firms on the Sell-side
- Insurance companies
- Companies that are data-driven
- Brokerage firms
Financial Analysts draw an average pay-band of 65k to 110k$ in the US according to Indeed.
In conclusion, if you have a flair for financial analysis then the financial analyst courses can get you the coveted financial analyst certification. The Imarticus course teaches you the best tools and such courses are particularly advantageous to your career because of the global robust curriculum, hands-on practice on popular tools, an industry-relevant project involving real-time live data, and excellent mentorship provided which makes you industry-ready from day one.