One of the core functions in an organization that regulates the organizational resources in the most optimum way possible is the finance department. The organizational finances are managed by the finance function and this helps the modern-day organization regulate its other activities. Finance in itself is a vast field with a lot of scopes when it comes to options available for individual career enhancement. Therefore, it is mandatory that a question such as how many jobs are available in finance be answered in detail.
It is one of the most lucrative professions in the world, quite often turning in some of the highest salaries in the world for the practitioners of finance. How many jobs are available in finance is one of the topmost questions on the minds of many job aspirants and many would love the opportunity to be part of this rewarding career set.
One advantage the field of finance holds for various job aspirants is that there is such a wide spectrum of opportunities available based on skills and qualifications both inside organizations and outside. This article will cover how many jobs are available in finance both inside and outside the firm.
Finance can also offer a long and fulfilling journey for an individual who wants to explore the many nuances of the field. How many jobs are available in finance is a question that can’t be answered in just one sentence. It requires careful consideration of thought and a certain way with words to do justice to the entire bouquet of offerings the field has to offer.
Without finance, it is difficult to sustain as an organization and even more difficult to generate profits that will, in the long run, help the organizations progress. All activities that are closely related to planning, organizing, directing, and controlling the financial activities and various financial processes in an organization are called financial management. And not only does it procure financial funding, it also effectively decides the mobilization of financial resources and their allocations to various projects that the organization undertakes. Now attempting to understand How many jobs are available in finance?
Since the concept of finance and financial management is clear, one can gently try and move one level up to understand what a finance department looks like in an organization. Getting an umbrella view of the finance function will help one get more clarity on how many jobs are available in finance.
Table of Contents
- The Finance Function And How Many Jobs Are Available In Finance?
- Commercial Loan
- Various Roles In Finance Function And How Many Jobs Are Available In Finance?
The Finance Function And How Many Jobs Are Available In Finance?
To look at the finance function from the prism of how important it is for the organization it is extremely important that one understands the importance of financial management in organizations.
Financial management is the core reason why organizations succeed. There is no limit to the financial discipline set in each organization thanks to the intervention of the finance function. Especially the areas of tax management in firms along with following various regulatory rules is tantamount to the firm’s overall accomplishment.
Not only does the finance function help the organizations to achieve their financial goals and register success, but it also helps one measure the success of individual firms. This is done by the dual roles of getting access to good sources of funds and controlling the operating costs of the business. The finance function plays this two-pronged role and helps the business not only sustain but also grow multi-fold.
Talking about sources of funds, it is up to the finance function and the experts associated with the company to advise the management of various sources available for procuring funds for all the needs. A finance expert in the company would identify both short-term and long-term funding sources.
A commercial loan can then be chosen as one of the avenues, where business entities can avail of a commercial loan from a financial institution such as banks for meeting its needs of long-term finance or to answer to the day-to-day operating expenses. Depending on the time frame for which the loan is secured the commercial loan can be classified as:
- Long term commercial loan which has a repayment period above 3 years
- Medium-term commercial loan which has a repayment period between 1 and 3 years
- Short-term commercial loan which has a repayment period of less than 1 year.
One of the other essential features of the finance function is that it offers the opportunity to augment the marketing activities in the firm. It helps that the returns from various marketing campaigns can be quantified by the finance function providing a perfect visual about the effectiveness of the campaigns being carried out.
Another area where the finance function pulls some pretty heavy-duty work is in identifying the feeble areas within the firms that aren’t essentially being profitable. The analytics thus received can highlight the areas that are profitable. Thrust areas and mechanisms can then be identified to improve the frail areas while promoting the strong zones within the firm.
The finance function also offers a periscope for the future to help identify the high growth areas as well as predict potential risks. How this helps organizations is that the firm has concrete evidence on which areas to invest in for future returns and which ones will be beneficial financially. The organizations are able to create a safety net around themselves by being forewarned of forthcoming risks and events. The finance function’s role in this can’t be emphasized enough.
Various Roles In Finance Function And How Many Jobs Are Available In Finance?
For the sake of brevity, the various career options available for individuals from the basket of finance are being covered under the various roles in the finance function and how many jobs are available in finance.
A word to the wise, however, it might take some effort for individuals to establish themselves in the field. Breaking into the field might actually be difficult for those without the necessary credentials required. This would mean it pays to have some experience and graduate degrees under one’s belt to build a career in the field of finance.
How Many Jobs Are Available In Finance – Analyst
In the field of finance, one of the core jobs that you can get if you have an affinity for reading numbers and making sense of them for various strategic purposes is the job of an analyst.
One can land either the role of a financial analyst, credit analyst, budget analyst or quantitative analyst. Strong mathematical skills coupled with exceptional communication skills will enable an individual to land a financial analyst position in a reputed firm. One needs a bachelor’s degree in finance and a postgraduate degree only adds to the repertoire of professional qualifications one can arm oneself with before entering this sector.
Having a chartered financial analyst degree helps secure a credit analyst job which usually revolves around the loan applications sought by the company. It is the task of the credit analyst to analyze the credit history and financial information of business entities to assess the degree of risk involved in lending money to such businesses.
Budget analysts, on the other hand, are involved in scrutinizing budget requirements at the level of projects, programs, departments, and even organizations.
Quantitative analysts have the job of creating such financial products that can be monetized by finance firms by setting them up for a price and offering such products for trade. Often hired by hedge funds and some new fintech companies, quantitative analysts are at the top of the heap with highly coveted skill sets both technical as well as holistic abilities.
How Many Jobs Are Available In Finance – Banking
Some of the hottest jobs in the finance sector are nestled here. When it comes to banking jobs, investment banking and commercial banking attract the maximum candidates.
Thanks to heavy pay packages and opportunities for growth both economically as well as career-wise, investment banking is the preferred destination for many finance incumbents.
The prime responsibility of an investment banker is to advise and help companies, individuals, and even the government to raise funds. It involves selling and trading corporate securities, stocks, bonds on the stock market among others.
One of the most common positions one can find in the finance sector is the commercial banking position. Individuals scouting for entry-level finance jobs have been known to begin their careers in banks as tellers and then climb the corporate ladder to become a part of the leadership team too.
If you are interested in more finance-related jobs, check out these best paying jobs in real estate investment trusts.
How Many Jobs Are Available In Finance – Insurance, Portfolio Management & Financial Planning
Given the current hullabaloo surrounding financial education and financial literacy, two of the most sought-after individuals are financial planners and insurance agents. A trained financial planner not only secures one’s future with timely advice regarding investment strategies and saving lessons, but they also assist in fortifying current finances.
One can get a certification to be a trained and certified financial planner and either go solo or even join an organization to help individuals protect their hard-earned wealth.
An insurance agent is merely a terminology used to define someone who would help one secure one’s life and health against unforeseen circumstances and catastrophes. As an insurance salesman, customer service executive one is guaranteed an entry-level position in the finance sector.
Something similar on the lines of the financial planner is Portfolio Management. The difference would merely be on the extent and reach of both the jobs. A portfolio manager has the task of overseeing the investments of both their retail clients as well as institutional clients. The portfolio management team is often tasked with managing the day-to-day portfolio upkeep with respect to trading as well as investing in other products such as mutual funds, ETFs, and other instruments.
How Many Jobs Are Available In Finance – Actuary
An actuary is someone who works either for insurance companies or for governments, investment firms, or even banks. The prime responsibility of an Actuary is to use their skills to calculate the probabilities of future events such as accidents or damage to property etc. This is because usually, someone training to be an Actuary possesses the highest levels of mathematical skills coupled with statistical skills. One thing that works in favor of this job is the low levels of stress and the high pays that are given to actuaries.
How Many Jobs Are Available In Finance – Trading
For those who want a slice of freedom and the urge to be one’s own boss is too strong, the stock markets offer a way out from the rat race. Trading in equities, options, and commodities amongst others.
But those seeking to work for others may join as a broker or trader in a trading firm and as per the needs of the manager may buy or sell from a portfolio of products. This is the task of a broker.
If one has the right affinity for the markets and one is willing to understand the way the tide goes then trading can be a hugely fulfilling job. The skills of research and an analytical frame of mind go a long way in a successful career as a trader. The added advantage here is the freedom to pace one’s career, the right to be one’s own boss, and the possibility of earning a fairly good return from the stock markets. But of course, trading comes with its own set of risks and one who is adequately trained should only indulge in this job.
Other than these other jobs such as Hedge fund manager, public accounting, Auditing is another job that might be of interest to anyone asking how many jobs are available.
Keep in mind that whatever job you are planning to pursue, an internship in a finance institute will increase your experience and the chance of your getting the job.
Thus, in conclusion, the key takeaways from this article can be that finance jobs offer the ability to enhance earning opportunities for those willing to explore various sectors within the field. The top-paying jobs worldwide to have emerged from the field of finance for those asking how many jobs are available in finance are the jobs like actuary, investment banking, quantitative analyst, securities trading, portfolio management, commercial banking, financial planner, venture capitalist.