Choosing a career path as a remote financial analyst can lead to a lot of opportunities in finance and other related industry. Capital is involved in almost every sector or industry of society where there is money, and there should be someone who will be in charge of finances so the company or business don't run at a loss. This is why the job of a financial analyst is very important and valuable to many industries. To be a financial analyst requires several qualifications, professional experience, and relevant financial skills that will attract companies and potential employers.
The financial services industry is a competitive one and it can be tough to break into the field. However, we have prepared this article for you to help you break into the financial industry If you're interested in a career as a remote financial analyst. Read on to find out what you can do to prepare yourself for the job.
Who Is a Remote Financial Analyst?
A remote financial analyst is a person that examines, assesses and evaluates financial data and uses their findings to help companies make business decisions. Their job is to review a business or company's account, plan their budget and financial statements, research market positions and economic data, and recommend courses of action based on their analysis. Most importantly, they are in charge of advising and supporting investment decisions of individuals and businesses.
A remote financial analyst might also perform an overall analysis of the business or organization and help decide when to buy or sell assets, and determine which department budgets should be expanded or scaled back.
Most remote financial analysts work in the banking sector, insurance, real estate, accounting, or other business that deal with huge financial assets.
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Steps to Become a Remote Financial Analyst
To become a remote financial analyst, a bachelor’s degree is often required for people who want to choose a career path in the financial industry. But a master's degree will be an added advantage if you want to handle an advanced position. Here are steps for you to follow to become a remote financial analyst.
Most remote financial analyst positions require a bachelor’s degree in fields like accounting, economics, finance, statistics, mathematics, business, and other related fields. For advanced or senior positions most employers often require employees to have a master’s degree in business administration (MBA) finance, and economics. More than 97% of entry-level financial analyst job descriptions specify a bachelor’s degree is required. In addition, the higher your level of education, the greater you're earning potential. Financial analysts with a master’s degree have a median salary of $103,000, compared to $94,000 for those with a bachelor’s degree, and $66,000 for those with an associate degree. Furthermore, you can also pursue certification courses in the finance industry and other related fields.
2. Licences and Certification
While a bachelor’s and a master's degree are required, employers also require people with licences and certification. For example, if you sell a financial product or handle financial positions in a company, you are required to have a license. One advantage of this license is that most of them require sponsorship by an employer, so companies do not expect individuals to have these licenses before starting a job. The Financial Industry Regulatory Authority (FINRA) is the main licensing organization for most financial positions.
Furthermore, certification is also a requirement if you want to advance in your career as a financial analyst. An example is the Chartered Financial Analyst (CFA) certification from the CFA Institute. To become a Chartered Financial Analyst, you must have a bachelor's degree in finance or accounting, 4 years of qualified work experience, and passing the three CFA Institute exams. Financial analysts may also achieve certification in more specialized areas of finance by demonstrating their expertise and taking the additional certification.
3. Gain Experience
While having a relevant degree (both bachelor’s and master's)and relevant licences and certification is great, it is equally important for you to have relevant experience. To get started as a remote financial analyst, you can acquire an internship or obtain an entry-level position with a financial services firm to gain hands-on experience in the industry. Experience and mentorship will help you advance in your career as a financial analyst. Most remote financial analysts start by working in an office and gaining experience and certification before transferring to a remote position. Advancing to a senior role often requires people to go back to school and earn a master's degree in a specialized field. And after years of experience and certification, a senior financial analyst can advance into a supervisory role.
Skills Required to Become a Financial Analysts
Apart from gaining the relevant degree, certification and experience, there are some specific skill sets that employers seek when hiring a financial analyst. These skills include.
1. Analytical Skills
A remote financial analyst needs the ability to forecast, plan, prioritize, rank and recognize financial problems and provide solutions. Having these skills means that you should be able to gauge and solve problems by analyzing financial resources, markets and products to help companies make sound financial decisions.
2. problem-Solving Skills
As financial analysts analyse the financial resources, market and product, they should also be able to profer solutions. This is because financial analysts often conduct research and they have a good understanding of the financial market. Financial analysts may be required to solve financial equations effectively or find solutions to a company's debt problems. Furthermore, financial analysts should be able to come up with creative solutions to financial issues should they arise.
3. Research Skills
A remote financial analyst studies past, present, and future business and economic trends to provide data-driven insights for business decision-making. They examine data to identify opportunities and evaluate outcomes for business or investment opportunities.
4. Communication Skills
Effective communication as a financial analyst is a very lucrative skill demanded by employees. This is because a financial analyst has to speak with investors, work together with teams, send emails to clients and explain recommendations to investors and clients in a clear and understanding manner.
5. Computer Skills
As a remote financial analyst, you need to be very conversant with computer software for analyzing financial data, staying on to trends, creating portfolios, and making forecasts. Examples include SPSS, Microsoft excel, and Google spreadsheet.
6. Technical Skills
Financial analysts often make use of sophisticated accounting and bookkeeping software to make their work easier. Knowledge of programs like Python, Hyperion, SAP, SQL, R programming language, QuickBooks and other software programs can be an added advantage.
Tools to Work as A Financial Analyst
Financial Report, Presentations, and Model Tools
- Google spreadsheet
- Microsoft Excel
Data and Analytics Platforms
- Capital IQ
- PitchBook Data,
Financial Analysis Software
- Multiple Data Upload Facility
- Financial Statements
- Financial Ratios Analysis
- Analysis Support
- Visual Graphs
Top Soft Skills
- Communication skills
- Microsoft Excel
- Teamwork and collaboration
- Detail orientation
Financial Analysts Can Work in The Following Positions:
- Junior Financial Analyst
- Financial Analyst
- Client Financial Analyst
- Business Financial Analyst
- Associate Financial Analyst
- Entry Level Financial Analyst
- Project Financial Analyst
Financial Analyst Salary
According to BLS reports, the average salary of a regular financial analyst is $84,300. However, this can vary depending on the industry. Financial analysts who work in securities, commodity contracts, and other financial investments and related activities can earn a higher average salary of $100,180 while analysts working for insurance carriers and related activities may earn a lower average salary of $76,860. According to Payscale, an entry-level financial analyst with under five years of experience earn about $57,000 annually.
Junior risk analyst: $58,213
Junior financial analyst: $56,521
Junior investment analyst: $66,953
Fund manager: $66,043
Portfolio manager: $95,915
Financial planning and investment manager: $112,111
A Remote Financial Analyst Job Description
- A financial analyst performs financial forecasting, reporting, and operational metrics tracking
- Increase productivity by developing automated reporting/forecasting tools
- Perform market research, data mining, and business intelligence
- Maintain a strong financial analysis foundation creating forecasts and models
- Evaluate financial data and create financial models for decision support.
- Work closely with the accounting team to ensure accurate financial reporting
- Evaluate financial performance by comparing and analyzing actual results with plans and forecasts
- Guide the cost analysis process by establishing and enforcing policies and procedures
- Provide analysis of trends and forecasts and recommend actions for optimization
- A financial analyst should be able to report on financial performance
- Analyze past results and perform variance analysis,
- analyze and interpret data, make comparative analysis and recommend necessary actions
- Identify fianacial trends, and make recommendations for improvements
- Identify and drive process improvements, including the creation of standard and ad-hoc reports, tools, and Excel dashboards
How to Be a Remote Financial Analyst with No Experience
The financial industry is a very lucrative industry that presents a lot of opportunities coupled with huge financial rewards. The demand for a financial analyst is growing every day thanks to the marketing industry and other financial players in the market. A recent graduate without no experience can earn a sum of $70,000 annually. So how do you become a financial analyst without no experience in 2022?
1. Through Networking
Networking is one of the easiest ways to land a role without experience. One way to do this is by starting with people you know and asking them to introduce you to people at companies where you want to work. The business world is all about networking. There are alums in your university that will be a big player in the financial industry, you can reach out to them and introduce yourself. Another way to do this is by attending alumni and financial events or conferences. Here you can easily meet with people that are already financial analysts, you can exchange contact with some of them and talk to them about your dream of working in the financial sector.
2. Registering on Linkedin
Another way to land a financial analyst job is by creating a profile on LinkedIn. By creating this profile, you can connect with industry giants, companies and organisations. Furthermore, you can connect with your school alumni that are in the financial sector. Showcase any project, certificate, or conference that shows your passion for becoming a financial analyst. You can also join communities and forums on Facebook. You can read our blog on how to optimize your Linkedin profile to know how to utilize keywords to optimize your profile.
3 Startup A Financial Blog
One way to get people to notice you is by creating value. One way to do that is by running a finance blog to communicate your investment ideas to the world. You can start publishing informative finance posts and other related financial posts on your blog. This will allow you to express your knowledge of the finance field and talk to potential employers. Having the relevant finance and investment skills will give you an edge when writing finance publications.
4. Take Online Courses
Participating in online financial analyst training programs will help kick-start your career as a financial analyst with zero experience. There are a lot of courses on finance, economics and banking with certification. This can give you an edge when applying for entry-level jobs in the financial industry. Financial analyst training programs will teach you useful skills, such as financial forecasting and financial modeling, which will supplement the theory that university programs focus on. There are several online platforms like Udacity, Udemy, and Alyson. There are also online programs like the ALX Africa that offer scholarships for financial analysts to African indigenes.
Is a Financial Analyst Career Right for Me?
The financial industry is evolving every day and experiencing monumental growth. This means that a lot of job opportunities are awaiting you if you choose to follow this career path. Furthermore, if you enjoy analytical work that produces actionable insights on behalf of clients making lucrative financial decisions, then you might start a career path in the financial industry. Remote financial analysts also earn an average salary of $84,300 per annum and entry-level financial analysts earn about $70,000. In addition, it is flexible, which means you can work from anywhere in the world.
Choosing a career path in the financial industry especially a remote financial analyst can open various career options and opportunities for you. So aspiring to become a remote financial analyst in 2022 might be a great choice for you. This is because the growth of financial analysts is increasing daily due to global economic activities. As new financial markets and opportunities are emerging, companies will demand financial analysts with knowledge of risk management, investment, and economic development analysis. The financial or finance industry is constantly changing, and those who wish to work as financial analysts should engage in continuing education to stay on top of current trends.