As can be expected in the highly complex world of modern finance, there are many type of jobs related to financial services. Just to name a few of these professionals, there are bankers and investment bankers, accountants and auditors, pensions administrator and pensions adviser, tax adviser and tax inspector, as well as financial analysts and financial managers. This article will discuss the last two jobs since these are often the occupations associated with financial services.
Financial Analysts
Also called investment analysts and securities analysts because of the nature of their jobs, financial analysts perform a variety of functions for their oft-wealthy clients. The ultimate goal is to increase and expand the wealth of the clients according to pre-determined investment goals, of which the following functions are related thereto:
* Provide expert guidance about financial matters to individuals and organizations in the process of making investment decisions, which can range from tax matters and insurance issues to securities speculation.
* Study the individuals' and organizations' financial statements to assess profit goals, net worth and cash flows as well as to provide forecasts on said matters.
* Recommend the best investments like stocks, bonds, market securities and pension funds to the clients.
Like most financial service jobs, the financial analyst will use software packages in order to analyze the financial data, create portfolios, spot market trend and develop forecasts. Keep in mind that as a financial services job, it is necessary to have a deep understanding of mathematics and economics as well as the psychology of the market and of the client.
Financial analysts often specialize in one specific industry, product type and area. With the complexity of the financial markets, it is often impossible to know everything there is to know and still be successful at it. Thus, there are risk analysts, portfolio analysts and ratings analysts, to name a few of the sub-classifications.
To become a financial analyst, it is important to possess a bachelor's degree in any related field like banking and finance, accounting and auditing, statistics and economics. These degree courses will provide sufficient understanding of risks, economics and business. Licenses and certifications increase the opportunities for employment in many industries like commercial banks, stock markets and private equity firms, to name a few possibilities.
Financial Managers
Higher up the corporate ladder than the financial analysts are the financial managers. As such, the duties are often wider in scope and greater in impact, said duties of which include the supervision of financial reports preparation, the management of investment activities, and the implementation of cash management strategies. And more importantly, in their role as managers, these professionals will develop long-term financial goals for the individuals or the organization.
Since this financial services job also has its sub-classifications, the specific function, responsibilities and routines will vary according to the specific position titles, the industry and even the nature of the business organization. Just to cite a few of these financial service jobs with managerial capacities:
* Controllers - In charge of third-party special reports in compliance with laws as well as supervision over the accounting, budget and auditing departments
* Treasurers - Ensure that the agreed budget, financial goals and actual financial performance are in sync, in addition to the supervision of cash management activities and execution of capital activities, amongst others.
No matter the position title, financial managers are very important professionals in all for-profit organizations. Thus, all financial institutions like commercial banks, credit unions, savings and loans association and other finance companies present good employment opportunities for qualified professionals.
Qualifications include a bachelor's degree in any related field although a master's degree is increasingly a compulsory requirement. Many years of experience in the industry are also a must along with the right license (CPA, for example).
As much these jobs are demanding, the financial rewards more than makes up for the sacrifices. Median annual wages excluding the perks are $99,330 for financial managers and $73,150 for financial analysts as of May 2008, both of which are almost double than the national median.
