Financial analysts play a crucial role in the world of finance, providing insights and recommendations to investors, businesses, and governments to strengthen their financial structure. In India, the financial sector is rapidly growing, creating new opportunities for those interested in pursuing a career as a financial analyst. One of the key factors to consider when deciding on a career path is salary.
In this article, we will explore the financial analyst salary in India in 2023, including factors that influence pay, regional differences, and career growth opportunities.
Understanding Financial Analytics: Roles and Responsibilities
A financial analyst is responsible for analyzing financial data and making recommendations to a company or individual based on their findings which may vary from investment decisions to making future predictions towards improvement.
The roles and responsibilities of a financial analyst vary depending on the industry and the specific company they work for. However, here are some common duties and responsibilities that financial analysts are typically expected to perform:
Analyzing Financial Data
Financial analysts collect, organize and analyze financial data to identify patterns and trends. They use this data to create reports and presentations for senior management and stakeholders.
Conducting Research
Financial analysts stay up-to-date with market trends, economic indicators, and industry developments. They use this information to make informed financial recommendations.
Creating Financial Models
Financial analysts use advanced spreadsheet software to create complex financial models. These models help them make predictions about future financial performance, identify risks, and develop strategies.
Making Recommendations
Based on their analysis and research, financial analysts make recommendations to senior management about investment decisions, financial planning, and risk management.
Monitoring Financial Performance
Financial analysts keep a close eye on the financial performance of their companies or clients. They track metrics like revenue, expenses, and profitability and report on any significant changes.
Developing Budget
Financial analysts work with senior management to develop budgets and financial plans that align with company goals.
Presenting Financial Data
Financial analysts create reports and presentations to communicate complex financial data to stakeholders. They need to be able to explain financial concepts and data to non-financial audiences clearly.
Educational Qualifications and Skills of a Financial Analyst
To become a financial analyst, a combination of educational qualifications and skills is required. Here are some of the typical requirements:
Educational Qualifications:
- Bachelor’s degree in finance, accounting, economics, or a related field.
- A Master’s degree in business administration (MBA), finance, or accounting may be preferred or required by some employers.
- Professional certifications such as Chartered Financial Analyst (CFA), Certified Public Accountant (CPA), or Certified Financial Planner (CFP) can be advantageous.
Skills:
- Analytical skills: A financial analyst must possess the skills necessary to assess and interpret financial data in order to make informed decisions.
- Mathematical skills: The capacity to carry out intricate calculations and develop financial models is necessary.
- Communication skills: Effective communication of financial information to stakeholders and colleagues is required.
- Attention to detail: Accuracy is critical when working with financial data and analysis.
- Computer proficiency: To do financial research and produce reports, financial analysts must be proficient in using spreadsheets, databases, and other financial software.
Financial Analytics: Roles and Offered Salary Across India
Here are different financial analyst roles within an organization and their average offered salaries across top recruiters.
Senior Financial Analyst
A senior financial analyst is a mid-level position that involves complex financial analysis and management responsibilities. They may oversee a team of financial analysts, perform financial planning and analysis, and work on strategic initiatives.
| Top Recruiters | Minimum Experience | Average Salary Offered |
| JP Morgan Chase | 1-7 years | INR 11,00,000 |
| Accenture | 1-9 years | INR 6,20,00 |
| Wells Fargo | 1-6 years | INR 4,30,000 |
Manager of Financial Analysis
A manager of financial analysis is a more senior position that involves managing a team of financial analysts, developing financial strategies, and providing analysis and insights to senior management.
| Top Recruiters | Minimum Experience | Average Salary Offered |
| Accenture | 8-9 years | INR 22,40,000 |
| Wipro | 1-15 years | INR 20,30,000 |
| HSBC | 8-16 years | INR 17,60,000 |
Director of Finance
A director of finance is a high-level position that involves overseeing the financial operations of a company which requires a good amount of experience. They may lead financial planning and analysis, treasury, accounting, and other functions.
| Top Recruiters | Minimum Experience | Average Salary Offered |
| Capgemini | 15-28 years | INR 37,20,000 |
| American Express | 13-20 years | INR 82,40,000 |
| Cognizant | 16-23 years | INR 74,00,000 |
Chief Financial Officer (CFO)
The CFO is the highest-level financial position in a company and is responsible for the overall financial health and strategy of the organization. They may oversee financial planning and analysis, accounting, treasury, and investor relations.
| Top Recruiters | Minimum Experience | Average Salary Offered |
| HIndustan Unilever | 21-31 years | INR 66,00,000 |
| Essar Power | 15-16 years | INR 78,60,000 |
| IFFCO | 10 years | INR 87,00,000 |
Factors Affecting the Financial Analyst Salary
There are multiple factors that affect the salary of financial analyst in India. Let’s discover the diverse salary trends based on these factors.
Location
| Location | Average Salary |
| Gurugram | INR 5,50,000 |
| Bangalore | INR 5,00,000 |
| New Delhi | INR 5,00,000 |
| Noida | INR 5,00,000 |
| Hyderabad | INR 4,80,000 |
| Chennai | INR 4,50,000 |
| Mumbai | INR 4,40,00 |
| Pune | INR 4,10,000 |
| Kolkata | INR 4,00,000 |
Industry
| Industry Name | Average Salary |
| Biotech & Life sciences Companies | INR 7,50,000 |
| Beauty & Wellness Companies | INR 7,20,00 |
| Architecture & Interior Design Companies | INR 7,00,000 |
| Chemicals / Agri Inputs Companies | INR 6,80,000 |
| Airlines / Aviation / Aerospace Companies | INR 5,50,000 |
| Automobile Companies | INR 5,00,000 |
| Agriculture Companies | INR 4,70,000 |
| Advertising / PR / Events Companies | INR 4,20,000 |
| Banking / Insurance / Accounting Companies | INR 4,00,000 |
| BPO/KPO Companies | INR 3,50,000 |
Skills
| Top Skills | Average Salary |
| Financial Planning | INR 8,00,000 |
| Financial Reporting | INR 6,00,000 |
| Budgeting | INR 5,40,000 |
| Financial Modelling | INR 4,80,000 |
| Financial Analysis | INR 4,50,000 |
| Forecasting | INR 4,50,000 |
| Finance | INR 4,00,000 |
| Accounting | INR 4,00,000 |
| Variance Analysis | INR 4,00.000 |
| Operations | INR 4,00,000 |
Conclusion
The financial industry is highly competitive, and financial analysts who possess specialized skills and knowledge can command higher salaries. As the demand for financial analysts continues to grow, it is essential for professionals in this field to continue developing their skills and expertise to remain competitive in the job market.
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FAQ
- What is the future of financial analysts in India?
The future of financial analysts in India looks promising. The job outlook for the profile of a financial analyst has increased by 30% over the past ten years. A knowledgeable financial analyst is needed more than ever since the finance sector operates on the fundamental concept of supply and demand.
- Is a CFA degree required for a financial analyst job?
Although a CFA certification is not required to work as a financial analyst, several businesses do favor certified candidates. Entry-level opportunities may be available to those with just the necessary degree.
- What is the minimum qualification required for becoming a financial analyst?
A bachelor’s degree is normally necessary for financial analysts, but advanced roles sometimes ask for a master’s degree as well.
- What is the fresher financial analyst salary in India?
The average financial analyst salary in India for freshers is approximately INR 4,00,000. This salary is largely affected by various factors, including location, experience, skills, and more.
Source:
https://www.payscale.com/research/IN/Job=Financial_Analyst/Salary
https://www.ambitionbox.com/profile/financial-analyst-salary
