Over our years of experience, we keep noticing how many professionals want to know details of the financial analyst job description.
So today we will share the main points about the topic—financial analyst job description—starting with the explanation that Financial analysis is the process of evaluating businesses, projects, budgets and other finance-related entities to determine their performance and suitability. Typically, financial analysis is used to analyze whether an entity is stable, solvent, liquid or profitable enough to warrant a monetary investment.
The purpose of financial statement analysis is to examine past and current financial data so that a company’s performance and financial position can be evaluated and future risks and potential can be estimated.
Financial analysts work in banks, pension funds, insurance companies, and other businesses. Financial analysts provide guidance to businesses and individuals making investment decisions. They assess the performance of stocks, bonds, and other types of investments.
The main function of a financial analyst is to study and formulate reports on which to base structured investment decisions. Information is resourced from a huge variety of sources including official company data, marketing information, industry reports, government statistics and current economic trends. The role of a Financial Analyst is intrinsic in the success of Financial Institutions and corporates. Whilst you may be employed by an investment bank, Financial Analysts are also employed in-house by companies of all sizes to gain an understanding of where they are in the marketplace and formulate future strategies for growth and expansion. Financial Analysts are also readily employed by mutual and pension funds, hedge funds, insurance companies, and other businesses, assisting companies or their clients to make profitable investment decisions
Whilst you may be employed by an investment bank, Financial Analysts are also employed in-house by companies of all sizes to gain an understanding of where they are in the marketplace and formulate future strategies for growth and expansion. Financial Analysts are also readily employed by mutual and pension funds, hedge funds, insurance companies, and other businesses, assisting companies or their clients to make profitable investment decisions.
In the brokerage or investment capacity, often working in teams, Financial Analysts utilise fundamental analysis principles and the latest technology and methods to provide evaluation and assessment of specific securities and other instruments. This ultimately results in a recommended investment action, such as buy, sell, or hold. Senior analysts may actually be the ones responsible for managing the assets and making the decision on whether to acquire or dispose of the chosen asset.
The top skills for a Financial Analyst job description:
- Innate problem-solver
- Analytical skills: Financial analysts must process a range of information in finding profitable investments.
- Exceptional leadership
- Adaptable communication
- Humble confidence
- Unwavering professionalism
- Self-management
- Ease with technology.
- Communication skills
- Computer skills
- Decision-making skills
- Detail oriented
- Math skills.
As a Financial Analyst, your role can also be involved in supporting other functions and departments such as Compliance, whereby the material produced by your firm in recommending a particular investment strategy is compliant with the current Regulatory requirements and best practices. There are also opportunities to work with the Ratings’ Agencies or large Consultancy firms in this respect.