MBA Finance is one of the most sought after courses throughout the world. It offers excellent job opportunities, apart from challenging job profile and hefty pay package. Let us explore more, why MBA in Finance is so much sought after and if it is right course for you. It is a course for people who love numbers and managing money. It requires intensive use of skills like mathematics, economics, and financial theory. An MBA in Finance strives to cover these subjects in great detail. The program focuses on investment, investment strategy, local and global economics, mergers & acquisitions (M&A), corporate risk & insurance and financial theory.
What does an MBA in Finance cover?
Basic papers under Finance are:
- Financial & Management Accounting
- Financial planning
- Banking & Financial Services
- Corporate Finance
- Private Equity and Venture Capital
- Mergers & Acquisitions
- Risk Management
- Security Analysis and Portfolio Management
- International Trade and Finance
- Many other finance oriented papers
MBA Finance prerequisites
In case you are decided to go for an MBA in Finance, you should make sure you posses following skills:-
- Mathematical and Analytical Skills
- Communication and Managerial skills
- Attention to details and Research
Besides MBA in markeitng, MBA in Finance is one of the most sought after specialization within MBA; you need to make sure you get excellent percentile in MBA entrance Exams like CAT, XAT or other and then after selection procedure to get into Finance of reputed B Schools.
Specializations within finance
In case you want to excel in the world of finance and investment, an MBA may not help you always and you may consider pursuing other specialized courses after MBA to sharpen your skills in Finance and contribute in a greater way to the firm you work for. They could be:-
- CFA (Certified Financial Analyst) - The prestigious CFA is worldwide respected and opens opportunities for you in Finance multi fold. You may specialize in are you want to by pursuing CFA.
- CFP (Certified Financial Planner):- Administered in India by Financial Planning Standards Board India, this course deals with investments and financial planning and make you a financial planner.
- Other specialized Finance Certifications like NSE’s NCFM and NISM courses.
Finance is a really huge sector with history dating back to thousands of years. It purely depends on student, where he wants to go for and where his interest lies in Finance domain. Generally, careers in finance include asset management, retail banking, financial advisory and planning, taxation, corporate finance, investment banking, risk management, equity analyst, business analyst, sales and trading, personal finance, insurance etc.
A Financial Advisor advises individuals and corporations on how to invest their money wisely. They meet with clients, manage their investment accounts and research other investment portfolios and opportunities such as to maximize profits with limited risks. He is expected to earn more than Rs. 3.5 Lakhs per year in India at entry level and experience leads to rise in salary significantly. (Read more at http://www.payscale.com/research/IN/Job=Financial_Advisor/Salary)
An Equity Analyst analyzes stocks and investments, look for optimal times to invest and the best stocks in which to invest. This he does by using different tools like fundamental analysis and technical analysis. He may work with mutual fund houses or private equity funds. Starting Salary for Equity Analyst is around Rs. 3.6 Lakhs per year in India and increases significantly with experience. (Read more at http://www.payscale.com/research/IN/Job=Equity_Analyst/Salary)
Financial Planners are the expert who helps individuals and companies to plan their financial futures through budgets and financial goal setting. It includes meeting financial goals, taxation, planning for retirement and others. He is expected to earn about Rs. 3.5 Lakhs yearly in India at entry level and his compensation depends on quality and results of recommendations made to clients. (Read more at http://www.payscale.com/research/IN/Job=Financial_Planner/Salary)
Investment Bankers are the professionals working in investment banks that raise funds for companies from investors, act as a bridge in case of a merger or acquisition and restructuring of the company. Their motto is to make their client grow in size and profitability. As one of the highest paid finance job worldwide, he is expected to earn about Rs. 8 Lakhs per year in India and salary increases significantly as he gains experience and delivers results. (Read more at http://www.payscale.com/research/IN/Job=Investment_Banker/Salary)
Bankers are the employees of bank who help clients with their banking needs like deposits, savings, credit need and transfer of funds. As Relationship Manager, one can expect an annual salary of Rs. 4 Lakhs (Read more at http://www.payscale.com/research/IN/Job=Relationship_Banker/Salary)
Finance Managers are the employees of company who manage costs and budgets for company to ensure minimum costs and maximum profits for the firm. They do so by managing working capital, cash and inventory. They are also responsible for making of financial documents including financial statements. Average salary for Finance Managers in India is about Rs. 9.5 Lakhs in India (Read more at http://www.payscale.com/research/IN/Job=Finance_Manager/Salary)
Other financial roles includes fund managers, auditors, business analyst, etc who plays a very critical role in success of any firm. Salary for finance professional is decent and work culture is challenging yet rewarding.
Top Companies in Finance to work for
- Banks: HDFC Bank, ICICI Bank, Axis Bank, Yes Bank, Kotak Mahindra Bank, IndusInd Bank, SBI, Bank of Baroda and other banks
- Foreign Banks- RBS, Deutsche Bank, Citi Bank, Bank of America, HSBC, JP Morgan Chase, ANZ, Standard Chartered BNP Paribas, Goldman Sachs, UBS, Barclays, Morgan Stanley etc.
- NBFC- HDFC, Bajaj Capital, L & T Finance, Aditya Birla Group,
- Brokerage- Karvy, India Bulls India Infoline, Angel Broking etc.
- Mutual Funds- HDFC Mutual Fund, ICICI Mutual Fund, Reliance Mutual Fund, Birla Sun life Mutual Fund etc.
- Insurance- ICICI Prudential, HDFC Life Insurance, Reliance Life Insurance, Birla Sun Life, LIC etc
- Others- CRISIL, Equity Research firms, independent financial firms etc.