Financial Analyst Job Description (2024)

FAQs

Financial Analyst Job Description? ›

Financial analysts work in banks, pension funds, insurance companies, and other businesses. Financial analysts guide businesses and individuals in decisions about expending money to attain profit. They assess the performance of stocks, bonds, and other types of investments.

A financial analyst is responsible for a wide range of activities including gathering data, organizing information, analyzing historical results, making forecasts and projections, making recommendations, and generating Excel models, presentations, and reports.

A Day in the Life of a Financial Analyst. Financial analysts gather information, assemble spreadsheets, write reports, and review all non-legal pertinent information about prospective deals. They examine the feasibility of a deal and prepare a plan of action based on financial analysis.

Building and updating complex financial models is a time-consuming task that demands a high level of concentration and expertise. Financial Analysts may find themselves working long hours to ensure the accuracy and reliability of these models, which is critical for making informed financial decisions.

Even though Financial Analysts work long hours and sometimes must handle a lot of stress in the workplace, these professionals are well-compensated for their efforts.

Earning a bachelor's degree is often the most important step a future financial analyst takes toward achieving his or her goals. While general courses in economics, statistics, and other related fields can be relevant to the field of financial analysis, a more targeted degree may be ideal.

Aspiring Financial Analysts can gain relevant knowledge and skills through in-person and online courses, bootcamps, and certificate programs. These provide much shorter study durations compared to traditional college programs. Building a professional portfolio is crucial for job applications.

Financial analysts typically start by specializing in a specific investment field. As they gain experience, they can become portfolio managers and select the mix of investments for a companys portfolio. They can also become fund managers and manage large investment portfolios for individual investors.

Do Financial Analysts make money? ›

According to the U.S. Bureau of Labor Statistics, the median financial analyst salary is around $85,000, but this number can be misleading because the average financial analyst salary is closer to $100,000 due to the extreme growth in earnings over time.

The field is also growing at a steady pace. The BLS projects employment for financial and investment analysts to grow by 8% from 2022 to 2032, which is faster than the average projected growth for all jobs. This amounts to about 29,000 new financial analyst jobs by 2032.

Consider the following steps as you explore a potential career as a financial analyst. Choose a program and earn your degree. It usually takes four years to earn a bachelor's degree, however, it's possible to extend this time frame if you work and want to attend school part-time.

The salary range for a financial analyst is $38K-$725K. The average salary for a Financial Analyst in US is $86,009.

They can include high stress, big responsibility, long working hours, continuing education requirements, and, in some cases, a lack of job security—the finance industry is generally quite cyclical.

Work from home financial analysts often measure key performance indicators, produce reports on request, ensure data integrity, and support regulatory compliance activities. This is a remote, home-based position, though some companies may occasionally ask you to visit the office to attend meetings or give reports.

Financial Analyst Job Description

Analyze financial statements to evaluate investment opportunities. Create financial modeling for investors to find profitable investments. Recommend individual investments and collections of investments.

A financial analyst looks to past and current trends to help achieve a future reality, while an accountant may review a company's financial data on a day-to-day basis. Many financial analysts use reports generated by accountants to make recommendations about how best to use company resources.