The key factor denoting a company’s growth and existence is the level of profitability attained. There is a direct relationship between utilizing financial resources and the profit generation for a business firm. Financial analysis is required to determine the financial health and stability of a company. It helps in determining the current financial position and upcoming financial requirement. In order to assess the financial health and performance of a company, a financial analyst is required.
The role of the financial analyst is very challenging, and includes the following:
- Guiding the financial need and requirement of the company
- Assessing the performance of bonds, stocks, commodities, and other investment instruments
- Making decisions regarding market investment
- Analyzing the performance of securities, insurance
- Determining future earnings and expenses of business firms
- Evaluating the effect of tax rates, government policies, competitor strategies, commodity prices etc
They deal with the balance sheet, spreadsheets, and databases in order to gain a better insight into firm’s prospects. Having a strong hold on the market economic trends and business scenarios, they often give recommendations regarding buying and selling of investments.
There is a vast scope of career advancement for financial analysts. Many professional, as well as certification courses, are there for developing the financial knowledge and skills. With rigorous academic curriculum, ‘Imarticus Learning’ has successfully developed many financial professionals with outstanding quantitative and analytical skills, through our business analytics certification course.