Financial Analytics

Financial Analyst

Financial Analyst is one of the foremost coveted and prestigious careers in the financial services
industry. A Financial Analyst is primarily required to go through data to find new business
opportunities, provide insights and recommendations for further investment. Financial Analysts
examine available financial data and evaluate them to develop ideas to help the company make
business decisions. In short, Financial Analysts research both macros as well as microeconomic
conditions to make their predictions regarding business and market.
Companies also tend to hire financial analysts to pinpoint the efficiency of different marketing
strategies and calculate ROI. This trend is mainly seen in businesses following a franchise model
wherein the financial analysts are given the responsibility of keeping a track on different
franchises within a designated region. They go through data to make predictions regarding the
profit and loss of a particular franchise.
At the junior level, financial analysts are required to collect and sort data, financial modeling,
and maintaining spreadsheets. At the senior level, financial analysts mostly spend their time in
making reports on new investments and coordinating with the management team of the company
and investors.
Candidates with a bachelor's degree in mathematics, economics, statistics, finance, or any other
related field can pursue a career in financial analysis. A master's level and continuing an MBA
can substantially boost your career in financial analysis.

Scope

In countries like the US, Financial Analysts are needed to evaluate investment opportunities in
new and upcoming business or existing business which is expanding. In emerging markets like
India, new investment opportunities, and financial analysts play a vital role in bringing the right
investor to such emerging markets. Employment-wise, financial analysis is a somewhat
competitive field. Nevertheless, the Bureau of Labor Statistics predicts that jobs in this field
should grow at a pace of 6 percent for the decade of 2018-28.

Job profile

Financial Analyst should have excellent quantitative and problem-solving skills. Financial
analysis is a broad field with different job profiles like:
Buy-Side Analyst – Most of the financial analysts in the sector work as Buy-Side Analysts. They
mainly have the responsibility of helping their employers make decisions like how to spend and
invest money. Buy-Side Analyst can perform their duties either working for the company or for a
third-party company that provides financial analysis to its clients. They usually don't have the
final say in how the money will be spent as the company takes this decision. Still, they provide
invaluable insights and predictions which help the company in the decision-making process.
Sell-side Analyst – A Sell-side Analyst is required to do an evaluation and compare the quality of
different securities given in a sector. Based on their findings, they write specific
recommendations for such securities as buy, sell, hold, strong buy, etc. Furthermore, these
recommendations are highly valued and carry a certain weight in the investment sector.
Investment Banking and Equity Analyst – Analysts working in the Investment Banking field are
responsible for evaluating whether specific deals between companies like initial public offering,
mergers, and acquisitions are feasible. On the other hand, Equity Analyst focuses mainly on the
equity market and mostly tries to find companies providing the most lucrative opportunities for
buying them.

Top countries

The top countries to work as a financial analyst are:
Switzerland
Germany
United States of America
Belgium
The Netherlands
Japan
Canada
Singapore

Top companies

Some of the top companies to work as a financial analyst are:
Cisco
Goldman Sachs
Deloitte
Morgan Stanley
Kaiser Permanente
Citi

Salary

In India, Financial Analyst can earn anywhere between INR300,000-700,000 per annum.
In the United States, Financial Analysts can earn anywhere between $50,000-90,000 per annum.

Top colleges for Financial Analysts are: