What Does a Financial Analyst Do?
Financial analysts work with companies and individuals, offering guidance and advice on optimizing their finances while warning against the risks involved. They recommend which stocks or bonds to invest in and how much a client should invest. They evaluate investment opportunities and put together plans to best build a client’s wealth. A financial analyst must have deep knowledge of the financial market, as well as past trends and future forecasts, and use that knowledge to analyze financial data while adhering to company or client goals. Along with a strong understanding of their subject’s financial situation, a financial analyst should have good research skills and the ability to provide solid recommendations to reduce costs and improve financial performance.
A financial analyst must have a good working knowledge of spreadsheets, databases, and financial software applications. They should be well-versed in statistical analysis and statistical packages. Exceptional presentation and communication skills are frequently necessary to succeed in this role as well. Finally, they need to be current on relevant tax laws, money market accounts, and various business environments.
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National Average Salary
Financial analyst salaries vary by experience, industry, organization size, and geography. To explore salary ranges by local market, please visit our sister site zengig.com.
The average U.S. salary for a Financial Analyst is:
Financial Analyst Job Descriptions
It’s important to include the right content in your job description when hiring a financial analyst. The following examples can serve as templates for attracting the best available talent for your team.
[Your Company Name] is looking for a financial analyst! This position has the responsibility of overseeing the company’s accounting and financial status. This would include giving quarterly and annual reports on assets, debt, liabilities, net income, interest, and things of the sort. Aside from providing these reports, it is on the shoulders of the analyst to provide investment opportunities to the company, whether it be stocks, cryptocurrencies, lending, or other business ventures. You must consistently be collecting and analyzing data, which in turn allows you to propose advice to your higher-ups. Although sometimes unpredictable, the financial analyst must also generate forecasts for the future. You must have confidence in your analysis skills to show forecasts to senior management. Because of this, mathematical skills are a must, as well as problem-solving skills. To properly represent this data, the ability to create graphs, charts, and models will help you thrive. To lawfully succeed in finance, one must have a hefty amount of knowledge of the laws and regulations surrounding the space. Although this is the primary reason for one, companies may also hire analysts to find the most viable product, marketing strategy, etc. If this sounds like you, please consider applying to this position!
Typical duties and responsibilities
- Inform investment decisions by analyzing financial information to forecast business, industry, or economic conditions
- Prepare plans of action for investment, using financial analyses
- Evaluate and compare the relative quality of various securities in a given industry
- Interpret data on price, yield, stability, future investment-risk trends, economic influences, and other factors affecting investment programs
- Present oral or written reports on general economic trends, individual corporations, and entire industries
- Monitor fundamental economic, industrial, and corporate developments by analyzing information from financial publications and services, investment banking firms, government agencies, trade publications, company sources, or personal interviews
Education and experience
he position requires a bachelor’s degree in finance, accounting, or a related field (MBA preferred). A Certified Public Accountant (CPA) certification is recommended.
Required skills and qualifications
- Several years of experience in finance or accounting
- Demonstrated ability to assess credit risks accurately
- Ability to work with large groups or teams to implement changes resulting from financial analysis
- Multi-site experience preferred
- Bachelor’s degree in finance
- 1-2 years of finance experience
- Demonstrated written and verbal communication skills
- Ability to present information in a clear manner
- Assist in the entire Acquisition and Integration process, including supporting the efforts of business development, operations, marketing, finance, and external consultants and service providers to close
- Participate in the valuation process of targets using historic and forecasted financial information, synthesizing inputs from the CareVet leadership team and other relevant sources
- Help identify synergy opportunities for prospective targets
- Provide insights to Finance Team to develop anticipated post-close revenue and EBITDA targets based on diligence work
- Assist the Finance Team in the due diligence process by:
- Identifying unusual items that should be reviewed as part of the quality of earnings report
- Attending calls with external consultants on quality of earnings and communicating to impacts/findings to CFO
- Enhancing the Acquisitions and Integrations Playbook to standardize and streamline the process
- Review due diligence materials provided by target and ensure support is adequate for accounting records
- Execute Finance Playbook steps
- Work with accounting team to determine stub period financial statements if mid-month close applies
- Help with any audit and/or tax requirements, as necessary
Qualifications and experience
- Bachelor’s Degree in Accounting or Finance
- 1-2 years experience in accounting or finance related role. (1-2 busy seasons)
- 1-2 years experience with mergers and acquisitions preferred but not required
- Highly skilled in use of Excel spreadsheets and other accounting software
- Excellent communication (written and verbal) skills, customer service and organizational skills
- High integrity, excellent work habits, including a willingness to work the hours necessary to complete a task or project, especially when important deadlines cause greater than normal pressure
- Co-owns the competitive pricing strategies to achieve the business’ revenue goals
- Assesses data from a variety of sources to gain insights into pricing strategies and market trends
- Applies statistical modeling methods to determine the potential impact of pricing strategy on profitability
- Collaborates with the Business Development Team on developing and implementing competitive pricing strategies
- Develops dynamic pricing tools to effectively respond to the changing market needs and trends
- Prepares and presents pricing analysis findings to executives and the Business Development Team
- Process vendor invoices in the accounting system in accordance with company policies
- Works closely with Controller to prepare financial statements and manage daily accounting/financial tasks
- Prepares and analyzes accounting transactions across various financial items, including revenue recognition, expenses, payroll, pricing, and fixed assets
- Prepares monthly journal entries and performs reconciliations, general accruals, and other assets
- Assists in completing audits and preparing periodic internal and external reports
- Maintains project account structures, project financials, and provides related support functions as necessary
- Reviews, analyzes, and tracks Task Order (TO) invoices to ensure processing in a uniform manner and in accordance with TO requirements
- Provides general support to including, but not limited to, analysis, data calls, financial management, risk management, audits, and project management-related tasks
- Analyzes pricing data from industry standards, previous sales trends, as well as competitors and reports data to decision makers
- Identifies marketing strategies to increase profits
- Works with staff and departments to resolve accounting and pricing related questions
- Coordinates with internal sources to ensure proper coding of expenses
- 2+ years working in an accounting or financial analyst position with a focus on federal government opportunities
- 2+ years working in a pricing capacity
- Experience anticipating accounting, financial reporting, and forecasting
- A passion for applying strategy, design, and technology to help businesses change the way they interact with customers, each other, and the world at large
- Someone who knows and enjoys the hustle and is comfortable with ambiguity
- A clear, concise communicator with exceptional follow-up and organization skills
- Strong written and oral communication skills and experience successfully balancing multiple tasks
- The ideal applicant will be comfortable in a fast-paced environment, flexible, innovative, and attentive to detail
- 2+ years working with multi-award contract vehicles, task order bids, and price-to-win strategy preferred
- 2+ years experience working on a distributed team, remote team, or remote freelancing
- 2+ years of experience working in the federal cost accounting environment
You will be responsible for ensuring the accurate and timely preparation of work papers and analyses to report practice operations, review performance benchmarks and assists in business forecasting.
What you will do in this role
- You will prepare journal entries, projections, and account reconciliations as required to accurately report/forecast operational performance
- Prepare monthly reports for corporate data submissions and compile information to evaluate performance in relation to benchmarks
- You will prepare detailed monthly actual to budget variance reports to support practice management
- Assist in coordination with Hospital Based Physician (HBP) operations leadership for service line month operating review presentations
- You will assist practice management, as needed with financial information requests and questions
- Participate in development and detailed review of operation budgets and performance benchmarks
- You will ensure that all processing and reporting deadlines are consistently achieved
Qualifications you will need
- Bachelor’s Degree in Accounting, Finance, Economics or related field as required
- Additional related experience would be considered in lieu of a completed degree program
- Two years of progressive accounting experience; preferably in a physician practice management or healthcare-related environment
Candidate Certifications to Look For
- CFP. The Certified-Financial-Planner is a formal recognition of a candidate’s skills for the financial analyst position. It is given to those that are willing to put in the extra effort in their career and prove that they can maintain and uphold their skills.
- CFS. This certificate specifically targets mastering a candidate’s skills in buying, holding, and selling funds for clients or companies. This includes ETFs, Mutual Funds, REITs, and close-ended funds.
- CGFM. Certified Government Financial Manager is a certification specifically designed if candidates wish to work for governmental finance. This includes government environment, accounting, reporting, budgeting, and financial management.
Sample Interview Questions
- Why did you decide to become a financial analyst?
- What do you do to keep up with the latest financial news and market trends?
- When you were working in your previous roles, what type of financial analysis did you conduct?
- Would you be able to describe a complex financial analysis project you have completed?
- How do you assess the performance of a company based on its financial metrics?
- What factors determine the value of a company or investment opportunity?
- Is there a time when you had to make a recommendation without all the information you needed?
- With so many projects and deadlines to meet, how do you prioritize and manage your workload?
- What are the best ways to communicate complex financial information to non-financial stakeholders, such as managers and executives?
- How do you manage and mitigate risk?