A financial analyst researches macroeconomic and microeconomic conditions along with company fundamentals to make business, sector and industry recommendations. Many of these financial analysts work at large financial institutions in New York City or major financial centers. The BLS reported that the median annual wage for financial analysts was $73,670 as of May 2014. The middle 50% earned between $60,350 and $106,640, while the lowest 10% had a yearly salary at or below $48,170. Annual performance bonuses are common in this field, and can add a significant amount to the financial analyst’s total earnings. Five Principles to Hold Onto (Even When Your Boss Says the Opposite!),” with Laurence B. Siegel and Mathew H. Scanlan, The Journal of Portfolio Management Vol.
Controlling Pension Funding Risk,” Asset Allocation: Alpha and Beta Investment Strategies, Charlottesville, VA: CFA Institute: 2006 (conference proceeding.) An exploration of the practical realities involved in implementing Waring’s two 2004 Journal of Portfolio Management articles on pension asset allocation. TIPS, the Dual Duration, and the Pension Plan,” with Laurence B. Siegel, Financial Analysts Journal, September/October, 2004, Winner, Graham and Dodd Scroll, for best article 2004. A simplified, no-equity version of Liability-Relative Investing I, a 2004 Journal of Portfolio Management article.
Optimizing Manager Structure and Budgeting Manager Risk,” with Duane Whitney, John Pirone, and Chip Castille, Journal of Portfolio Management, Spring 2000, Winner, Peter Bernstein-Frank Fabozzi/Jacobs Levy award for best article. Mr. Waring has served on the editorial board of the Financial Analysts Journal, and still serves as an associate editor of the Journal of Portfolio Management and on the advisory board of the Journal of Investing. Financial analysts work for banks and other firms and help them make sound investment decisions. If being a financial analyst doesn’t interest you, consider becoming an actuary.
Weigh some of the benefits and disadvantages of becoming a financial analyst before making your career decisions. A financial analyst assesses the economic performance of corporations in order to help them make investment decisions. In this profession, you’ll gather necessary financial information, analyze it and make the appropriate investment recommendations to your corporate clients. You might also specialize in a particular facet of the field, like portfolio management, fund management, ratings analysis or risk analysis.
You will read your company’s financial statements and study commodity prices, expenses and tax rates in order to determine future earning potential. You can generally expect to work long hours in this profession; in fact, the BLS reports that nearly 33% of financial analysts work 50-70 hours per week. The BLS states that financial analyst employment was expected to grow 16% from 2012-2022.