A financial analyst is a professional who conducts financial analysis on behalf of clients. They can work for an internal or external organization. The role can be demanding, and requires a good grasp of numbers. However, it can also be rewarding. This profession is ideal for people who are curious about the world of finance. In today’s market, financial analysts can provide a unique perspective on a company’s performance.
Generally, financial analysts use spreadsheets to analyze and evaluate financial data. They research economic and business trends and forecasts and make recommendations based on the data they’ve collected. They also meet with company officials and use their expertise to evaluate management’s effectiveness. In addition to this, analysts also must be knowledgeable about current economic and financial issues. They must also be able to create and understand financial models that can be used to make predictions.
As a career choice, the field of financial analysis is growing rapidly, and the employment outlook is positive. Its increased visibility has helped to reduce barriers to entry. There are several educational and credentialing options available to those who are considering a career in the field. Obtaining a CFA designation or FINRA licensing can help a prospective financial analyst get ahead in the field.
The ideal educational background for a career in financial analysis is a bachelor’s degree. Fields of study that are ideal for this career include economics, accounting, statistics, mathematics, and finance. Those who have a master’s degree can also increase their chances of rapid advancement in the field. In fact, a graduate degree is often required by major firms. Some aspiring financial analysts choose to pursue a Master of Business Administration degree with a concentration in finance or economics.