Financial analysts | Data USA (2024)

FAQs

Is it hard to get hired as a financial analyst? ›

In this highly competitive job market, a master's degree gives an applicant a boost. A successful career as a financial analyst requires strong quantitative skills, expert problem-solving abilities, adeptness in logic, and above-average communication skills.

They Earn a Competitive Salary

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. In 2021, the average salary in the U.S. for a Financial Analyst was $96,000.

One study looked at the track record of stock market “experts” who predicted the market's direction. Their findings were eye-popping. Overall their accuracy rate was only 47%, less than you might expect from random chance. Jim Cramer, a fixture on CNBC, had an accuracy rating of 46.8% based on 62 forecasts.

Do you need a CFA to be a financial analyst? No. Financial analysts do not need the CFA credential to work in the field, but employers may prefer individuals with certification. Candidates with a relevant degree alone can qualify for entry-level positions.

1. Investment Banker. Roles in investing banking are highly sought after. For investment bankers, it's often a higher competition to land a role in one of the largest firms.

Financial Advisors Can Make Six Figures a Year: Here's How To Become One. Being a financial advisor has its pros and cons. Among the downsides: long working hours and potential challenges growing your business.

Strategic Planning(earn +86.90% more)

The jobs requiring this skill have decrease by 26.32% since 2018. Financial Analysts with this skill earn +86.90% more than the average base salary, which is $86,418 per year.

Financial Analysts often navigate high-pressure environments, balancing tight deadlines with the need for meticulous accuracy in data analysis and forecasting. Stress levels can peak during quarterly earnings reports and fiscal year-ends.

The workforce of Financial analysts in 2021 was 273,293 people, with 41.4% woman, and 58.6% men. The average age of male Financial analysts in the workforce is 37.6 and of female Financial analysts is 40.6, and the most common race/ethnicity for Financial analysts is White.

The need to manage risk

Financial analysts need to be able to manage risk effectively. This means being able to identify and assess risks and developing strategies to mitigate those risks. Despite these challenges, analysts play a significant role in the finance sector.

What should an entry level financial analyst know? ›

You typically need a bachelor's degree in a related field to qualify. Critical qualifications include strong analytical skills, proficiency in Microsoft Excel, effective communication abilities, attention to detail, and a collaborative mindset.

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.

Minimum GPA: Minimum cumulative 3.3 GPA required, 3.5 GPA preferred. Certifications: All are optional: Chartered Financial Analyst® (CFA), Certified Public Accountant® (CPA), or MBA.

You don't need an MBA to work in finance, but the field is highly competitive, especially at the entry-level. Internships offer experience, exposure, and a tryout for a full-time gig.

It requires technical and mathematical skills, as well as problem-solving and decision-making abilities. Financial modeling is more challenging to learn than accounting and investing.