How to Become a Credit Research Analyst in India?
In today's world, I see kids joining IIT JEE classes in their fourth grades. When asked the parents about this they more or less tell the same thing. They state that the competition is increasing and that the world has moved from "dog eat dog" world to "man eats man" world literally! Thankfully, if you are eyeing at something like a credit research analyst you wouldn't have to start training in fourth grade. It is the skills that have to be harvested and nourished either from a young age or habituated at an older age. It is never too late to start, but it is also never too late to plan.
Credit research deals with financial instruments. It is more technical and complex and requires a person with an excellent analytical mind to deal with it. It safeguards the company from any impending risks and helps in analysing the current position of the company with regards to its financial status. A credit analysis not only helps to validate the financial standing of a company but it also helps to keep a close eye on the market because, for an investigation, the competitor's moves viewed and scrutinised which in turn helps the firm to plan and prevent losses due to unexpected changes.
A credit research analyst is a person who studies large quantities of financial data either from corporates or banks depending on the sector he chose and determines the lending capacity or the potential to lend credit. It is a technical job which requires great patience and skill. It is also one of the highly sought after white collar jobs.
With the right perspective and proper planning, it is quite easy to become a credit research analyst. Since the job requires a lot of analytical knowledge, one must be used to understanding large data. This comes either with experience or with theoretical knowledge, but at times it is good to have them both. An undergraduate in business majoring in accounting and finance can come in handy. Apart from that, a "Certified Credit Research Analyst Certification" which is jointly offered by the Association of International Wealth Management and the National Institute of Securities Market can be acquired by any graduate or working professional. It provides knowledge on areas crucial to the financial sector such as economic analysis, rating methodologies, credit analysis, strategy and financial structuring. This would not only help a fresh graduate to gain knowledge in the said field but also prove beneficial to working professionals to climb the ladder.
Getting hired by one of the big money makers in the industry could also be an excellent first step to this career. For this one should work on their CV and try to prove their analytical skills through their volunteering or work experiences in the industry. It might not be in a big company, but one can always be the big fish in the small pond. Programming skills are also highly respected, and a good knowledge of excel will push the candidate forward without any doubt.
For those who need a little more of a push should try to find a mentor. The CFA Institute has many local societies all over the world. It is always a good idea to keep in touch with people who have the same goal plan and people who have achieved your goal already. It helps you get a clear picture of the job market and open you up to global experiences.
Being in a field which requires more of thinking out of the box yet being reliable reminds one to sharpen their creative skills and hone their mental toolkit relating to investments. It can only be acquired by reading or watching anything and everything under the sun related to finance and investment. After all, every brain takes a different route in perceiving the same information.
Becoming a credit research analyst is one thing, being successful in it is another thing. For some, it might take very less time, and for some, it would be a matter of years before they reach a glassed private room. But whatever it is, patience and perseverance will play an essential part. Keeping oneself updated by being abreast with the latest technology might come in handy along with the tips provided above.