Career Options in Finance
Career Opportunities in Finance includes various roles such as Investment Banking, Financial Analysis, Corporate Finance, Financial Planning and more.
| Career | Average Salary | Key Responsibilities |
|---|---|---|
| Investment banker | Entry-level: ₹9,92,681 per year; Mid-level: ₹20 LPA+ | Advice on mergers and acquisitions, help client raise capital and manage strategic financial services. |
| Financial analyst | Entry-level: ₹4,09,903 per year; Mid-level: ₹4–12 LPA | Analyze financial data to guide investment decisions, create financial reports and forecast company's performance. |
| Risk manager | Mid-level: ₹8–25 LPA | Identify, assess and mitigate financial risks of an organization. |
| Portfolio manager | Mid-level: ₹35 LPA+ | Manage investment portfolio for the clients. |
| Actuary | Entry-level: Varies, can be high with qualifications | Use statistical methods to assess and manage financial risks. |
| Chief financial officer (CFO) | Senior: ₹58 LPA+ | Oversee all financial operations and strategy for a company. |
| Financial planner | Entry-level: ₹3–6 LPA | Helps individual with budgeting, saving, investing and retirement planning. |
| Credit analyst | Mid-level: ₹6.5 LPA+ | Assess the creditworthiness of an individual or businesses seeking loans. |
| Compliance officer | Vary by experience | Ensures a Financial institution adheres to regulations ans internal policies. |
| Audit Associate/Junior Accountant | Entry-level average salary is ₹3–6 LPA. | External audit, ensuring financial statements are accurate and complete.Internal accounting and day-to-day financial record-keeping. |
MBA in Finance
An MBA in Finance is a postgraduate degree that focuses on managing money, investments, and financial strategy. It combines core business management with specialized finance courses like corporate finance, financial analysis, and risk management.
What you will learn
- Financial Management
- Financial Analysis
- Risk Management
- Financial Markets
- Strategic Decision Making
MBA Finance Career Opportunities
- Financial Analyst
- Investment Banker
- Credit Risk Manager
- Derivatives Trader
- Corporate Financial Manager
- Portfolio Manager
Program Details
| Aspects | Details |
|---|---|
| Duration | Typically 2 years |
| Eligibility | A Bachelor's Degree in any relevant field is usually required, often with a minimum percentage score depending upon the university. |
| Admission | It is typically based on entrance exams like CAT, MAT or GMAT. |
| Curriculum | The first year often covers general management theory, while the second year focuses on finance specialization. |
Advantage of MBA in Finance
MBA in Finance offers advantages like enhanced career advancement, higher earning potential and diverse job opportunities across various sectors. It provides in-depth financial knowledge.
Skill Development
- Leadership and management
- Strategic and analytical skills
- Adaptability
- Decision making skills
CFA
CFA or Chartered Financial Analyst is a professional certification for investment and financial management. It involves a three-level exam that tests candidates on areas like portfolio management, asset valuation and wealth planning.
Key Considerations
- The CFA exams are known for being difficult with low pass rates.
- The program generally takes between 2.5 to 4 years to complete.
- The total cost can be substantial, including exam fees and the potential for re-takes if a candidate fails.
Exam Format and program details
| Aspect | Details |
|---|---|
| Structure | The program consists of three levels of exam: level 1, level 2, level 3. |
| Exam format | Level 1: two sessions with MCQ’S Level 2: multiple choice questions grouped into item sets, with each set including a case statement and several questions.Level 3: Combines constructed response (essay) questions in the morning with multiple-choice questions in the afternoon. |
| Syllabus | It covers a wide range of core Finance topics including portfolio management, equity research and corporate finance. |
| Duration | 2.5 years to 4 years |
Job opportunities
- Equity analyst
- Investment banker
- Risk manager
- Portfolio manager
- Wealth manager
Eligibility criteria includes
- An undergraduate degree is compulsory
- For those in India, students in the final year of their undergraduate degree or those who have graduated are eligible.
- A valid international passport is required
- Proficiency in English
Benefits of CFA
The benefits of a CFA include global recognition, enhanced career prospects in finance, higher earning potential, and a strong foundation in investment analysis and portfolio management.
Knowledge, skills and Benefits
- Real-world skills
- Comprehensive knowledge
- Strong foundation
- Credibility and professionals
- Competitive edge
- Networking opportunities
- High earning potential
- Enhanced career prospects
MBA vs CFA
| Feature | MBA | CFA |
|---|---|---|
| Duration | Much more expensive, especially for top tier schools. | Significantly less expensive as it primarily involves exam and study material fees. |
| Cost | Typically 1-2 years for a full-time program. | Average around 4 years. |
| Entry requirements | A bachelor's degree is required and top programs usually prefer several years of work experience. | A bachelor's degree is required to begin but no entrance exam is required. |
| Learning style | A structured class based program with immersive and collaborative environment | A self-paced, distance-learning program that relies heavily on independent study. |
| Recognition | Recognition varies by the reputation of the business school. A degree from a top-tier institution is highly valued globally. | Globally standardized and respected designation in the investment management industry, regardless of your academic background. |
| Time commitment | Often requires a full-time commitment. | Can be completed by working full-time |
| Focus | Provides a broad business education that covers various management functions like finance, marketing, and operations. | Highly specialized in investment management, portfolio management and financial ethics. |
| Career path | Open doors to various fields including consulting, corporate finance, marketing and more. | Best for a specialized career in the investment industry such as portfolio management, equity research and asset management. |
Finance Courses and Certification
Finance certification courses cover a wide range of topics, from corporate finance to risk management. Some globally recognized certifications include:
- Chartered FinancialAnalyst (CFA)
- Certified Management Accountant (CMA)
- Financial Risk Manager (FRM)
- Certified Public Accountant (CPA)
- Association of Chartered Certified Accountants (ACCA)
FAQ'S
Q1. Is it worth it to crack the CFA instead of an MBA in India?
Ans. It is worth cracking the CFA instead of an MBA in India if your career goal is a deep specialization in investment analysis and portfolio management, as it is more affordable and globally recognized in the finance sector.
Q2. Is an MBA in Finance a better option than a CFA?
Ans. An MBA in Finance is better for broad career opportunities in consulting, investment banking and general management. The choice depends on your career goals and interests.
Q3. Which is a better path: to take an MBA or the CFA Program?
Ans. The better path depends on your career goals: choose the CFA Program for a deep, specialized focus on investment and financial analysis roles like portfolio management or equity research. Choose an MBA for a broader business education and opportunities in general management, leadership, and roles that require a wider business skillset.
Q4. What are the Benefits of CFA?
Ans. The benefits of a CFA include global recognition, enhanced career prospects in finance, higher earning potential, and a strong foundation in investment analysis and portfolio management.