How to Build a Career as an Investment Analyst - Life Beyond Certificate

How to Build a Career as an Investment Analyst

Building a Career as an Investment Analyst

In the world of finance, there are certain opportunities for skilled persons who understand how to think critically, conduct research, create financial models, analyze ideas and reports, offer recommendations about equities, bonds, stocks and tradable financial assets. These groups of people are known as investment analysts.

Investment analysts are professionals who provide strategies, analyze stocks, and advise clients and employers on how to buy or sell this asset. They work for large firms in the finance sector like banks, brokerage, hedge funds, pension funds and private equity firms. They are also known as financial analysts.  

How to Start a Career as an Investment Analyst

Obtain a Degree

The minimum requirement for an entry-level position of an analyst is a bachelor’s degree, and it gives one the knowledge needed to become a success in the field. Relevant discipline related to this career includes Accounting, Economics, Statistics, Banking and Finance.

Gain Experience

Starting as an intern or a junior analyst in a reputable firm is a great boost to gaining experience in the job. Junior analysts collect data and create and update financial spreadsheets that assist senior analysts in creating financial models and project implementation.

Get Certified

As an analyst, you must obtain a CFA (Chartered Financial Analyst) certificate. This certification horns your skills and makes you more relevant in line with the regulatory rules of practice. The certificate program is needed as a prerequisite of a bachelor’s degree, four years of professional experience or both that make up four years. The examination for this certification is in four levels, and it needs adequate preparation to make it through.

Consider a Higher Degree

Advancing your educational degree boosts getting higher pay and better positions. A Master’s degree in relevant fields like M.sc in Finance, M.SC in Business Administration. This program expands your knowledge based on advanced business and financial patterns or principles; it grooms one to become a professional.

The Salary Range of an Investment Analyst

An analyst earns about $81238 per year. In Nigeria, an analyst earns about N471,000 per month, making N5,736,000 per annum. These earnings vary due to educational levels, locations, country or size of the firm.

Entry-level investment analyst Job

The job of an entry-level analyst includes computing spreadsheets, generating reports, assisting in funds analyzing, working with senior analysts to assist in financial projects.

FIG Investment Banking

These are financial Investment groups (FIG). A community of professional investment analysts offers advice to clients like banks, companies, specialty firms, and insurance companies. 

League Tables

This list of top-ranking companies is categorized by criteria such as income-earning rate, deals or other important metrics. 

Top ten ranking companies in the league tables.

Companies Shares (%)Volume ($) Deal

JP Morgan                                  

32.5% $319,172 133

Goldman Sach& co 26.0% $265,116 138

Morgan Stanley                         

24.0% $243,851 125

Credit Sussie                               

23.4% $229,472 90

Citi                                                

18.6% $183,001 77

Bank of America Merril Lynch 17.3 $169,687 118

Barclays Capital 16.9                                             

$165,531                             

74

Deutsche Bank AG 15.1                                             

$148,840 67

Lazard Ltd                                   

13.4                                             

$131,142                              

68

UBS                                              

10.3 $100.889 79

TMT Investment Banking

The acronym TMT stands for Technology Media and Telecommunications. TMT Investment banking is a sector of banking that offers services to telecommunications media and technology industries. Services include Mergers, risk management, equity and debt capital raising, divestitures, professional advice.

TMT Companies are grouped into three categories

Telecommunications

Radio stations

Cable providers

Wireless service providers

Internet signal providers

Media 

Tv and movies studios

Cable companies

Magazines

Newsprint 

Technology

Software

Video games

Hardware and electronics

Internet 

Investment Banking Firms or Merchant Banks

These are financial service firms that provide financial advice or capital creation, mergers, equities, brokerage, loans and instruments for the government and individuals. They help manage risk, plan financial assets of large projects, and they also help to show off new firms.

 Examples are Goldman Sachs, Morgan Stanley, J.P Morgan, Bank of America Lynch.

How to get into investments Banking

– Get a degree, be certified 

– Choose your investment banking career

– Study for the examinations and ace it

– Be an investment banking intern

– Network and source for opportunities

An investment analyst career is a hot spot in the finance world; to excel, you must obtain a degree, get certified and market your skills. Learn to create financial models that would proffer solutions to the public, network yourself to big firms to stand out.

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