In order to advance in your career as a financial planner, you will need to upgrade your knowledge and your education. While there is some speculation that the economy is slowing because of problems relative to the housing and automobile industry, other economic data, such as the recent monthly jobs posting, indicates that the economy is still incredibly strong and still has strong momentum going into 2007.
Many financial analysts go on to become senior analysts, investment bankers, consultants, advisors , and chief financial officers. The increase in the number of financial vehicles and the wide variety of financial information sources explain this state of affairs. Financial analysts have ample job opportunities with insurance companies, banks, securities firms, pension and mutual funds, etc. Financial analysts must be adept at using software packages to analyze financial data, see trends, create portfolios, and make forecasts. Work experience that is commonly considered necessary by employers, or is a commonly accepted substitute for more formal types of training or education. Given that these trends are expected to abate a little, it is expected that the number of financial and investment analysts will rise sharply over the coming years, but at a slower rate than they did in the past. Financial analysts must process a range of information in finding profitable investments.
There has been a lack of investor confidence since 2002 with regard to the accuracy of companies’ financial statements, and investors are questioning analysts’ responsibilities and potential conflicts of interest in making recommendations to buy or sell financial products.
The increase in the number of financial vehicles and the wide variety of financial information sources available prompts institutional investors, companies, and to a lesser extent, private investors to seek the advice of a professional financial analyst.
He/She will prepare highly confidential and technical financial reports and forecasts on cash receipts and disbursements, corporate income, operating and capital plans and expenditures, manpower budgets, investments, and the consolidated financial position.