Financial Analyst

What is a Financial Analyst?

Duties

The job responsibilities of a financial analyst include the following aspects:

• Track regional variations in forecasts to pinpoint potential gains for the business in areas like operating budgets, price and currency fluctuations, capital spending, facility rationalizations and changes in channel, i.e. direct or via distributor.
• Perform monthly processing work in a punctual manner to make sure that important observations from financials are disseminated by the deadline.
• Keep abreast of the latest financial planning software applications and other information like time permits; support the development and implementation of new software upgrades at the organizational level.
• Consistently conduct analyses of the company performance, keeping an eye out for areas of improvement based on current trends in the industry.
• Make informed recommendations to senior leadership on cost saving and profit optimizing strategies.

Day In The Life

As a financial analyst you will spend your day assessing the financial situation of your employer, and create accurate reports that will convey your recommendations clearly. Most of the work involves continuously tracking and interpreting available statistics on industry trends and forecasts for future profits, calculating a good market rate for selling company stock, and making strong suggestions to investors or the management. As a financial analyst, you will have to take risks to see gains but you will also manage risks effectively based on what works well for your clients.

Since much of the job entails thinking logically and keeping pace with fluctuating markets, you need to think critically at all points for potential investments. You will also make efforts to be a lifelong learner by studying economic policies and market conditions closely, via research like finance journals such as The Financial Times, The Wall Street Journal, and The Economist.

Work Schedule And Typical Hours

Most of the financial analysis work is office-based, therefore they follow the regular full-time with the standard working hours of about 40 hours per week. Their work is however time sensitive and demanding which means that they usually have to work for extended hours beyond their normal working schedule. It is estimated that 1 of each 3 financial analysts work for 50 to 70 hours per week. Financial analysts can have work peaks when the company is considering a major investment, merge or entry into a new market for example. Financial analysts also need to be flexible as you may need travel frequently to visit companies or clients.

Projected Job Growth

According to the U.S. Bureau of Labor statistics, the employment of financial analysts is expected to increase by at least 5 percent from 2019 to 2029 which is a little faster than the projected growth rate for other jobs which is directly related to the economy growth and the increase of financial products. The modern technology advances and big data will give the financial analyst new and better tools to perform high-quality analysis to give companies and corporations better ways to manage their business and investments. Moreover, financial analysts currently use machine learning and artificial intelligence tools including programs as MATLAB, SAS, and QlikView. This tools help provide more accurate and competitive conclusions.

Typical Employers

Financial analysts can work for private and public financial firms, many of them located at NYC, and some also distributed across the country. Major companies working in financial analysis include Morgan Stanley, Deloitte, Goldman Sachs and Boston Consulting Group. These firms employ hundreds of analysts to make as much profit as possible and would be a great place to start and gain enough experience and connections. Other employers include private companies whether small businesses or huge corporations who need financial analysis to be able to gain new investment options and profits. Some experienced financial analysts may choose to work as freelancers allowing them to work from home with more flexible schedule. If you aim at working as a freelancer, then you should build your network of clients by working in financial analysis agents before making this transition.