How to become a financial analyst

Financial analysts are in high demand as global markets become more complex. Read on to discover what qualifications, skills and work experience you might need.

CAREER PROSPECTS CHOOSING A COURSE CHOOSING A UNIVERSITY UNDERGRADUATE

Tamsin Mosse 20 Jul 2023

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Routes to becoming a financial analyst
Skills you’ll need
Finding work experience
How to get a job as a financial analyst
What it's like to be a financial analyst

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Routes to becoming a financial analyst

Unlike some careers, there’s no clearly defined academic path into financial analysis. However, as it is possible to earn high salaries, it’s a popular and competitive choice. Most employers look for at least a good undergraduate degree qualification to get started.

Undergraduate degrees

The more relevant degree would be one in financial analysis although you might also consider economics, statistics, business studies or accounting. Entry requirements vary but typically range between 96–160 UCAS points. An undergraduate degree will usually take three or four years to complete depending on whether it includes a foundation year, professional placement or year abroad.

You can learn more about what to expect from a finance degree in our accounting and finance subject guide, including what topics you’ll cover and how you’ll be assessed.

GO TO
Find an undergraduate financial analysis degree

Degree apprenticeships

A financial analyst degree apprenticeship is an opportunity to learn on the job and earn a wage. A Level 4 apprenticeship is comparable to the first year of an undergraduate course and a Level 6 apprenticeship is equivalent to the final year of an undergraduate degree. Entry specifications are set by the employer and the course provider. While no experience is required, you’ll need to apply and attend an interview. Postgraduate degree apprenticeships at Level 7 are also available which is equivalent to a master’s qualification. Search for an apprenticeship vacancy via Find an apprenticeship.

Postgraduate degrees

While it is not essential to hold a postgraduate qualification, having a master’s may boost your career prospects. This can be completed at any point in your career, and you may explore this option once you’ve decided on an area to specialise in. Postgraduate courses usually take two years to complete part time or one year full time.

GO TO
Find a postgraduate financial analysis degree
Types of degrees in the UK

Skills you’ll need

As well as having excellent analytical and problem-solving skills, you’ll also need:

Numerical and accounting skills
Strong interpersonal communication
Effective research and data collection skills
Problem solving and critical thinking
Pattern recognition skills
IT and advanced software competencies
Decision making skills
Management and leadership abilities
High financial literacy
Presentation skills
Language skills if you’re working with overseas clients and markets

Finding work experience

You’ll be at an advantage if you have some work experience to draw on perhaps from an internship, placement or volunteer role.

Try looking for work by:

shadowing a financial professional or applying for a finance internship
finding casual work or volunteer in a sales, customer care or advisory environment to develop your people skills
looking for volunteer opportunities with a financial ask such as a treasurer

How to get a job as a financial analyst

Employers looking for financial analysts are predominantly found in the private sector and include investment companies. insurance firms, banks, building societies, and independent financial advice companies. You might also find work with medium to large sized industrial organisations. As a graduate, it’s likely that you’ll need to complete additional professional qualifications to comply with the Financial Conduct Authority. This is usually supported by your employer.

What it's like to be a financial analyst

As a financial analyst you’ll help clients make investment decisions based on your research and interpretation of economic information. Depending on your role and specialisation, your tasks could include:

Organising information using database software
Interpreting data using a range of advanced analytical tools
Building financial and statistical models
Forecasting and making projections
Giving recommendations for financial decision making
Working to exact deadlines
Risk analysis
Presenting data to colleges and clients
Staying updated with economic news and wider world events

You’ll usually work in an office environment in a team of financial professionals. You could join organisations like the CFA Institute and Chartered Institute for Securities & Investment for professional recognition and training opportunities.

A junior financial analyst starts on between £28,000 – £33,000. With experience this could rise to £54,000 - £79,000 depending on your specialism, location and company size. For example, London-based analysts tend to earn more. Financial analysts may also earn bonuses on top of their usual salary.

Is a role as a financial analyst right for you?

If you have a passion for finance, strong analytical skills, and enjoy working with financial data to drive business decisions, a role as a financial analyst could be for you.