What does a financial analyst do?

There are several types of financial analysts, one size does not fit all! The day-to-day tasks of financial analysts may differ greatly, however, the skills these professionals need are often very similar. Here are four examples of financial analysts:

Portfolio managers

A portfolio manager is responsible for the supervision and the necessary support of a team of analysts to select a mix tosatisfy their company portfolio. This could be property, industries or products. They are often required to justify and explain investment decisions to investors.

Fund managers

Fund managers are usually involved in working with hedge funds or mutual funds. Their analysis of changing market conditions may lead to them being in charge of making informed purchasing and selling decisions.

Rating analysts

Rating analysts evaluate and assess the ability of an entity to pay debts, bonds, or loans.

Risk analysts

Risk analysts assess and evaluate risks associated with investment decisions.

Financial Analysts skills

Skills a financial analyst should have:

  • Accounting skills – General accounting skills but especially budgeting, cost analysis, cash flow management and the mathematical skills involved in these
  • Problem solving skills
  • Technical skills – Many financial analysts use sophisticated software, so the ability to be able to adapt to new software and to know the general principles around the software is important.
  • Communication and inter personal skills – financial analysts need to be able to communicate important financial information and to naviagte professional and working relationships.
  • Analytical skills – an ability to forecast, prioritise, rank and plan.

These skills need to be applied in the workplace by offering input on projects, meetings and in preparing reports. It is important the financial analyst is up to date on market trends and finance rates and to a certain extent be able to use past examples to predict what might occur in the future.

How Cambridge Finance can help

Our financial modelling courses demonstrate how to build a financial model that is responsive and adaptable on Excel, the most common spreadsheet software available. The techniques learned are transferable as the logic behind the formulae is explained.

By using real life examples, it is easy to see how a financial model could be used in reports for investors or management, looking professional and uncluttered.

It is important that financial modellers follow a set of guidelines as taught by Cambridge Finance when created financial models in order that the models are able to be understood by others and interchangeable.

Keywords for a financial analysts CV would include, financial modelling, Excel, logic and problem solving. All of these can be gained on a Cambridge Finance Financial modelling course.

Cambridge Finance Financial Modelling Courses

Course NameLevelLink
Cambridge Finance Certificate in Real Estate Financial ModellingFrom basic Link
Real Estate Investment & Financial ModellingBasicLink
Real Estate Debt Structures & Financial ModellingIntermediate/AdvancedLink
Real Estate Development & Financial ModellingBasic/IntermediateLink
Understanding Commercial Property ValuationBasicLink