How To Become A Financial Analyst

In order to work as a financial analyst, students will need at least a bachelor's degree. Acceptable subjects for this field are business administration, accounting, economics, statistics and finance. A master's degree in business administration is preferred if you want to advance in this career. Similarly many individuals go for a certification after their undergraduate degree. This involves having four years of experience and passing three exams of the Chartered Financial Analyst certification from the CFA Institute. They can also become certified in a specific field.

How To Make Use Of Online Learning?

Attending on-campus classes regularly can be inconvenient for some. The basic problem remains that it is simply not possible to handle other like obligations while continuing with the traditional form of education. Fortunately, this does not mean that you have to choose between your job and education; you can continue with both as long as you pursue an online degree program. Prospective students are advised to ensure that the school offers high quality education before enrolling. This can be done by selecting one that is accredited by the Accrediting Commission of the Distance Education and Training Council (DETC).

What Is The Job Description?
They analyze and guide businesses and individuals and help them with their investment decisions. For this reason they must have a sound knowledge of risk management, options pricing and bond valuation. They are involved in the following tasks:-

  • Assessing the economic performance of industries and companies who have investment resources
  • Studying the company's financial statements and analyzing commodity prices, costs and sales
  • Analyzing financial data, identifying trends and developing forecasts
  • Writing reports and making recommendations to buy or sell a particular security or investment
  • Preparing costs and benefits analyses of a proposed merger and takeover.
  • Performing budget, cost, and credit analysis for the company

What Is The Employment Outlook?
There is an expected increase of 23 percent in the employment of these professionals from 2010 to 2020, according to the United States Bureau of Labor Statistics. This is faster than the average for all occupations. Many of these opportunities are available at major financial centers such as New York City. These jobs are highly paid as financial services are becoming complex. Their median annual wage was $74,350 in May 2010.

What Is The Work Environment?
Financial analysts are employed by:-

  • Depository and non-depository institutions such as banks, savings institutions and mortgage banks
  • Insurance carriers
  • State and local government agencies
  • Management, scientific and technical consulting services
  • Securities and commodity brokers, investment and exchange services firms
  • Accounting, tax preparation, bookkeeping, and payroll services

Their work involves dealing with frequent deadlines and travelling to meet potential investors and clients. They work for long hours and sometimes irregular, often exceeding forty hours a week. Approximately one-third of full-time analysts usually work around 50 to 70 hours a week. They have to be accurate in their investment decisions in order to avoid financial losses.


Q:How long does it take to become a financial analyst?

A:It can take you 4-7 years to become a financial analyst. First of all, it is important that you have a four-year bachelor degree in a relevant field. This program will equip you with knowledge and skills. The next step is to acquire a financial analyst certification. FINRA is one of the largest agencies that offer certification to financial analysts. The training requirements will vary slightly from place to place.

Have Questions ?

Please submit your question!

* All Fields are Required
Find Now