What do you need to learn to become a financial analyst?January 22, 2019
The job role of a financial analyst needs a very thorough study of theory and the applicability of principles to practical situations. The best option is to do financial analysis courses and earn the CFA Certification.
Course Skills and requirements
A graduation degree or even a Master’s in Finance goes a long way. Add certifications that are relevant. Those from a non-financial background can also take these courses as most offer boot camps to bring you to speed.
Non-transferable skills will also need to be developed and aligned with the enterprise’s needs. You must have the following traits.
- Interpersonal Communication skills
- Ability to solve problems creatively.
- Collaborative team skills
- Ability to work with ambiguity, pressure, and demands from the startup environment.
- Discipline and integrity since you will be working on financial transactions.
- A good learner as there may be no standard operating procedures in financial interpretations.
Depending on your career plan, resources, specialization choices, and eligibility here you can choose your certification. These have different prerequisites in terms of educational background, experience, and examinations taken to be finally added on to your resume. All of them provide you with a well-defined skill set meant to ensure you are industry ready and have the required skill sets.
The courses offer a good grasp of basics, concepts, theoretical knowledge, practical skills and certifications that could help enhance your resume and career. They also offer boot camps, short term workshops, and knowledge valuable to enter the industry. Another advantage in such a course is of mentoring by certified and experienced industry aces that helps garner the latest best practices, techniques, skills, and practice on the latest trending technologies in the financial industry.
While CFA certification definitely helps, you will need to be an excellent communicator and work diligently to acquire the best analytical and business skills. You will definitely need to add on technical skills in DevOps, IoT, Python, Machine Learning, Big Data, and Hadoop to aid your role and understanding as Financial Analyst.
Here is what topics the financial analytics training courses cover. The course topics are covered in detail with case studies, practice assignments and quizzes.
- How to use Excel
- Undertake data analysis and manipulation in Excel
- Basics and concepts in accounting
- Analysis of financial statements
- Inferences and forecasting methodology from financial statements
- Valuation of business from financial analysis data
- Dynamic and flexible financial model making
- Data visualization charts in Excel creation and presentation
- Accounting statements preparation for any company
- Create balance sheet, cash flows statement and income statement from the basics onwards.
- Ratio analysis from company financials preparation and interpretation
- Using a framework to compare different companies financial performances
- Creation of financial models that are forward-looking and integrated
- Forecast, extrapolate financial ratios which are forward-looking
- Discounted Cash Flows application and techniques of valuation on an actual company performance data
- Apply valuation technique of Multiples to a real-world company data
- Presentation enhancing tools like PowerPoint
A Financial analyst has to have a gamut of traits besides training which can be acquired through online refresher courses and extensive research. The importance of continued learning can never be stressed enough. Once you have your skills in place and your certification to validate you are industry ready, act on taking your skills to the next level.