Example Career: Financial and Investment Analysts

Career Description

Conduct quantitative analyses of information involving investment programs or financial data of public or private institutions, including valuation of businesses.

What Job Titles Financial and Investment Analysts Might Have

• Analyst
• Financial Analyst
• Investment Analyst
• Securities Analyst

What Financial and Investment Analysts Do

• Advise clients on aspects of capitalization, such as amounts, sources, or timing.
• Analyze financial or operational performance of companies facing financial difficulties to identify or recommend remedies.
• Assess companies as investments for clients by examining company facilities.
• Collaborate on projects with other professionals, such as lawyers, accountants, or public relations experts.
• Collaborate with investment bankers to attract new corporate clients.
• Conduct financial analyses related to investments in green construction or green retrofitting projects.
• Confer with clients to restructure debt, refinance debt, or raise new debt.
• Create client presentations of plan details.
• Determine the prices at which securities should be syndicated and offered to the public.
• Develop and maintain client relationships.
• Draw charts and graphs, using computer spreadsheets, to illustrate technical reports.
• Employ financial models to develop solutions to financial problems or to assess the financial or capital impact of transactions.
• Evaluate and compare the relative quality of various securities in a given industry.
• Evaluate capital needs of clients and assess market conditions to inform structuring of financial packages.
• Inform investment decisions by analyzing financial information to forecast business, industry, or economic conditions.
• Interpret data on price, yield, stability, future investment-risk trends, economic influences, and other factors affecting investment programs.
• Monitor developments in the fields of industrial technology, business, finance, and economic theory.
• Monitor fundamental economic, industrial, and corporate developments by analyzing information from financial publications and services, investment banking firms, government agencies, trade publications, company sources, or personal interviews.
• Perform securities valuation or pricing.
• Prepare all materials for transactions or execution of deals.
• Prepare plans of action for investment, using financial analyses.
• Present oral or written reports on general economic trends, individual corporations, and entire industries.
• Purchase investments for companies in accordance with company policy.
• Recommend investments and investment timing to companies, investment firm staff, or the public.
• Specialize in green financial instruments, such as socially responsible mutual funds or exchange-traded funds (ETF) that are comprised of green companies.
• Supervise, train, or mentor junior team members.

What Financial and Investment Analysts Should Be Good At

• Oral Comprehension - The ability to listen to and understand information and ideas presented through spoken words and sentences.
• Written Comprehension - The ability to read and understand information and ideas presented in writing.
• Oral Expression - The ability to communicate information and ideas in speaking so others will understand.
• Written Expression - The ability to communicate information and ideas in writing so others will understand.
• Deductive Reasoning - The ability to apply general rules to specific problems to produce answers that make sense.
• Near Vision - The ability to see details at close range (within a few feet of the observer).
• Inductive Reasoning - The ability to combine pieces of information to form general rules or conclusions (includes finding a relationship among seemingly unrelated events).
• Mathematical Reasoning - The ability to choose the right mathematical methods or formulas to solve a problem.
• Problem Sensitivity - The ability to tell when something is wrong or is likely to go wrong. It does not involve solving the problem, only recognizing there is a problem.
• Speech Clarity - The ability to speak clearly so others can understand you.

What Financial and Investment Analysts Should Be Interested In

• 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.
• Enterprising - Enterprising occupations frequently involve starting up and carrying out projects. These occupations can involve leading people and making many decisions. Sometimes they require risk taking and often deal with business.

What Financial and Investment Analysts Need to Learn

• Economics and Accounting - Knowledge of economic and accounting principles and practices, the financial markets, banking and the analysis and reporting of financial data.
• English Language - Knowledge of the structure and content of the English language including the meaning and spelling of words, rules of composition, and grammar.
• Mathematics - Knowledge of arithmetic, algebra, geometry, calculus, statistics, and their applications.
• Computers and Electronics - Knowledge of circuit boards, processors, chips, electronic equipment, and computer hardware and software, including applications and programming.
• Communications and Media - Knowledge of media production, communication, and dissemination techniques and methods. This includes alternative ways to inform and entertain via written, oral, and visual media.
• 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.
• 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.
• Law and Government - Knowledge of laws, legal codes, court procedures, precedents, government regulations, executive orders, agency rules, and the democratic political process.
• 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.