Investing has become more complex than ever. There are literally thousands of stocks, bonds and funds to choose from. That’s why advice from Financial Analysts is in great demand. They do the research that helps investors make decisions. The analyst examines a company’s financial records, its projections, even its competitors to get a handle on whether it’s a smart investment…or a risky one. While analysts may travel to visit companies they’re analyzing, for a first hand look, much of the work is done from an office desk, using computers and phones. Based upon their research, they make recommendations to their clients. Some analysts advise banks, insurance companies and other large investment groups. Other analysts are employed by firms that handle investments for individuals. In either case, the requirements are the same: you need strong math and analytical skills, as well as keen business savvy. A college education is usually a must. To move ahead in the field, a financial analyst might seek an advanced degree in business, and certification as a Chartered Financial Analyst. More and more organizations and individuals are turning to investing to increase the return on their money. That means the job outlook for financial analysts is becoming increasingly “bullish.”
Related Careers: Financial Managers, Budget Analysts, Securities, Commodities and Financial Services Sales Agent, Personal Financial Advisors, Risk Management Specialists & Investment Fund Managers
Sources: Minnesota CAREERwise & CareerOneStop
Typical Work Tasks
People who work in this career often:
- Research issues related to the environment or sustainable business practices.
- Analyze business or financial data.
- Analyze industry trends.
- Analyze market conditions or trends.
- Analyze risks related to investments in green technology.
- Apply mathematical models of financial or business conditions.
- Assess risks to business operations.
- Identify strategic business investment opportunities.
- Determine the value of goods or services.
- Create images of data, locations, or products.
Typical Working Conditions
- Using e-mail.
- Sitting.
- Working indoors in environmentally controlled conditions.
- The importance of being accurate or exact.
- Working with a group or team.
- Meeting strict deadlines.
- High levels of competition.
- Freedom to make decisions without supervision.
Tools & Technology used by Financial Analysts
Source: Minnesota CAREERwise
Most Important Skills for Financial Analysts
- Mathematics—Using mathematics to solve problems.
- Reading—Understanding written sentences and paragraphs in work related documents.
- Thinking Critically—Using logic and reasoning to identify the strengths and weaknesses of alternative solutions, conclusions or approaches to problems.
- Writing—Communicating effectively in writing as appropriate for the needs of the audience.
- Learning New Things—Understanding the implications of new information for both current and future problem-solving and decision-making.
- Listening—Giving full attention to what other people are saying, taking time to understand the points being made, asking questions as appropriate, and not interrupting at inappropriate times.
- Evaluating a System or Organization—Identifying measures or indicators of system performance and the actions needed to improve or correct performance, relative to the goals of the system.
- Making Decisions—Considering the relative costs and benefits of potential actions to choose the most appropriate one.
- Speaking—Talking to others to convey information effectively.
- Monitoring Performance—Monitoring/Assessing performance of yourself, other individuals, or organizations to make improvements or take corrective action.
Most Important Knowledge Areas for Financial Analysts
- Economics and Accounting—Knowledge of economic and accounting principles and practices, the financial markets, banking and the analysis and reporting of financial data.
- Mathematics—Knowledge of arithmetic, algebra, geometry, calculus, statistics, and their applications.
- English Language—Knowledge of the structure and content of the English language including the meaning and spelling of words, rules of composition, and grammar.
- Computers and Electronics—Knowledge of circuit boards, processors, chips, electronic equipment, and computer hardware and software, including applications and programming.
- Administration and Management—Knowledge of business and management principles involved in strategic planning, resource allocation, human resources modeling, leadership technique, production methods, and coordination of people and resources.
- Customer and Personal Service—Knowledge of principles and processes for providing customer and personal services. This includes customer needs assessment, meeting quality standards for services, and evaluation of customer satisfaction.
- Sales and Marketing—Knowledge of principles and methods for showing, promoting, and selling products or services. This includes marketing strategy and tactics, product demonstration, sales techniques, and sales control systems.
- Education and Training—Knowledge of principles and methods for curriculum and training design, teaching and instruction for individuals and groups, and the measurement of training effects.
- Law and Government—Knowledge of laws, legal codes, court procedures, precedents, government regulations, executive orders, agency rules, and the democratic political process.
- Clerical—Knowledge of administrative and clerical procedures and systems such as word processing, managing files and records, stenography and transcription, designing forms, and other office procedures and terminology.
Interests
Different careers may be a good fit for your personality or interests. This career is:
- Conventional—Conventional occupations frequently involve following set procedures and routines. These occupations can include working with data and details more than with ideas. Usually there is a clear line of authority to follow.
- Investigative—Investigative occupations frequently involve working with ideas, and require an extensive amount of thinking. These occupations can involve searching for facts and figuring out problems mentally.
Source: Minnesota CAREERwise
| Wages Per Hour For Financial Analysts (MN) | ||
Low$37.03 |
Median$44.82 |
High$53.11 |
Low indicates 25% of workers earn less and 75% earn more. Median indicates 50% of workers earn less and 50% earn more. High indicates 75% of workers earn less and 25% earn more.
Source: Minnesota CAREERwise
Demand
This career is seeing high growth compared to other careers. There will be a 20.3% growth for Financial Analysts to meet market demand between 2018-2028. This includes the demand due to replacement (workers leaving the occupation or retiring) as well as growth.
Source: Minnesota CAREERwise
This career requires at least at least a Bachelors degree, and many professionals have a Masters degree. This career does not require a license, but there are certifications are helpful for growth.
View the local post-secondary education options for this career from Central Lakes College.
Spotlight on Central Lakes College
- Why consider CLC?
- Virtual Campus Tours: Brainerd Campus, Staples Campus
- Learn more about the CLC Honors Program.
- Attend CLC, and you may never need to buy a textbook.
If you have a physical, mental, developmental, or cognitive condition that requires educational support, learn about support options at CLC.
Helpful High School Courses
Examples of helpful classes that help you prepare for this career:
- Accounting
- Algebra I and II
- Business Law
- Business Management
- Composition
- Economics
- International Business
- Marketing
- Office Procedures
- Public Speaking
- Statistics
- e-Commerce
Source: Minnesota CAREERwise
Explore this 360 degree view of a typical business building where Financial Analysts work.
Videos
Financial Analyst (CareerOneStop)
Financial Analyst (USAA Jobs)
Financial Analyst (Citadel)
Risk & Financial Advisory Analyst (Deloitte)
“Day in the Life” Videos
Financial Analyst (SchreiberFoods)