Equity research analysts work for both sell-side and buy-side firms in the finance sector. They mainly focus on furnishing research reports, projections, and recommendations concerning companies and stocks.
In today’s competitive business market, getting equity research analyst jobs can be tough without the right skills, education, or certifications. Keep on reading to get an idea of how to become an equity research analyst and what skills you need that will help you improve your odds of being hired.
Who is an Equity Research Analyst?
An equity research analyst regularly reviews market information and news with industry contacts. Typically, equity research analyst jobs require candidates to analyse economic data, conduct research, and provide insights to their organisation and client. They mainly focus on writing reports and making recommendations rather than mathematical forecasting.
With the right expertise and experience, an equity research analyst salary can be very impressive. You may even transition into investment roles, overseeing investment accounts and research programs.
If you are planning to build a career as an equity research analyst, our guide below will help you learn important details about the process.
How to Become Equity Research Analyst- Required Skills?
The best candidates for this position can combine quantitative abilities with communication skills. As an expert equity research analyst, you must have skills to analyse complex models and situations, form an opinion and effectively communicate your views and findings to the clients. You also need to be ethically sound and trustworthy.
Apart from this equity research analyst jobs require applicants to master technical and workplace skills. These skills include:
Workplace Skills
- Effective verbal and written communication
- Critical thinking and problem-solving
- Attention to detail
- Working under pressure
- Interpersonal skills
- Organised
Technical Skills
- Data, financial, and industry analysis
- Research capability
- Financial Modelling
- Maths and statistics
- Forecasting
- Data visualisation
- Business productivity software
- Consumer psychology
- Forecasting
Educational Qualifications and Certifications Required
To become an equity research analyst, you need a bachelor’s degree in finance, economics, accounting, or a related field. This gives you a foundational, working knowledge of accounting and finance.
Certain companies or employers may also prefer hiring candidates with a professional certification, such as an equity research analyst course, a Chartered Financial Analyst (CFA), a Certified Equity Professional (CEP), or a master’s degree.
These credentials can help your career greatly as they demonstrate your knowledge and skills in financial analysis, valuation, ethics, and reporting. Equity research professionals often obtain more practical, hands-on knowledge through programs like the Postgraduate Financial Analysis Program by Imarticus Learning. This rigorous financial modelling certification helps you acquire hands-on expertise in practical financial modelling for real-world insights.
Equity Research Analyst Jobs
Once you have the proper credentials and educational qualifications to become an equity research analyst, various career options open up:
- Financial Risk Analyst: Evaluate financial data to forecast investment success and guide decisions on equities, bonds, and other investments.
- Data Analyst: Collect, organise and analyse data to find trends and patterns and provide valuable insights.
- Financial Quantitative Analyst: Study and analyse investment opportunities and asset performance to advise on profitable investments.
- Risk Analyst:Often a role in banks and insurance firms, these analysts examine financial records and economic conditions to assess risk for business.
- Securities Analyst: Examine the financial health of companies and their market potential to recommend buying or selling financial products.
Conclusion
Becoming an equity research analyst can be a rewarding career choice that can open up many growth opportunities for you. Whether you’re analysing market trends or advising clients, this role offers continuous learning and growth opportunities.
The Postgraduate Financial Analysis Program by Imarticus Learning enables graduates with less than three years of experience in the finance domain to transform their professional careers.
Enroll now and immerse in real-time financial decision-making with the cutting-edge simulations offered under this program.
