An analysis of job opportunities in the finance field for business graduates - Research Paper Example

Table of Contents Executive summary 2 Introduction 3 Overview of finance field 3 Career Path 4 Qualifications for a job in finance field 7 Conclusion 8 Works Cited 9 Executive summary University leavers are facing the toughest job market especially after the depths of financial crisis shock most businesses. Those in the field of finance are amongst the most affected since they deal directly with economic activities. The financial crisis led to crumbling of most businesses leading to retrenchment of experienced workers to stabilize their balance sheet. When firms lay off their experienced workers, it sends a negative signal to fresh graduates most of which have no experience on the possibility of securing a job. Increase in thirst for education has led to a gradual increase in the number of graduates seeking employment from all sectors in the economy. The worrying trend is that the rise in number of graduates is more than the economy can accommodate making it hard for all graduates to secure jobs in good time. The shrinking job opportunities are a bad precedent for students and parents who dig deeper into their pockets to cope up with expensive and ever increasing cost of higher education. This paper explores an analysis of job opportunities in the finance field for business students. Introduction Recruitment levels for fresh graduates are still low due to the adverse effects of financial crisis witnessed in all parts of the globe. It is argued that about 10% of fresh graduates stay for over six months without securing a job in their field of study (Oduma 4). This may result into unchanged starting salaries despite rise in the state of living a state that is not good for graduates. With increased number of graduate, some employers are taking advantage of the situation to pay graduates peanuts since they have little alternatives in employment opportunities. Studies shows that competition for job is so fierce those employers receive up to 56 applications for one vacancy, most of which are fresh graduates in dire need of employment opportunities. This scramble for jobs is worse among business opportunities where employers receive approximately 192 applications form one job opportunity advertised. A quarter of these are people with experience in such positions scrambling for the same jobs with fresh graduates a condition, which is amazing (Ahmad et al 7). Overview of finance field Since the finance field was the hardest hit by the global financial crisis, the employers are very keen on who to employ and whom not to employ. This is because issues dealing with finances are very sensitive thus, only graduates who are up to the task usually have the highest chances of being employed. This is because they want employees who are able to withstand the high expectations from investors thus develop trust and confidence. There is no room for mistakes when dealing with finances this may severely ruin the reputation of firm (Oduma 3). Graduates in finance field have a variety of places to explore their skills. Some of these places are supermarkets, airlines, large motorcar companies, investment banks, insurance companies, financial advisers, brooking firms, unit and investment trust companies just but to mention a few. Due to this wide career path, graduates with training in finance field have the advantage of having a wide career base to choose form in the field of finance. Those who do not secure places in the above named places still have the opportunities to work in other places in managerial positions due to the nature of their training (Oduma 4). Several factors diminish the chances of a graduate form getting a job in finance field. They include lack of job skills, inability to communicate well in English, negative attitude, lack of awareness on job opportunities and mismatch between industry needs and thee graduate field of study (Ahmad et al 2). The graduate needs to have all the above-mentioned skills in order to be competitive and survive in the job market. This is because skills and knowledge determines their marketability and this increases their chances of success. Career Path Investment banking graduates will start as analyst that supports the execution of variety of transactions and this gives them experience needed for them to climb the corporate ladder. They may start as assistant manager or be given research positions to carry out research in different fields of inquiry. They often start with some sort of training to enable them carry their duties with diligence so that they perform as expected according to the top management. The fresh graduates are always given promotions after a period of time depending on their performance and availability of those positions. These higher positions of management and they involve making financial decisions and thus require them to have deep understanding of their jobs. These positions have high rewards since they involve making huge financial decisions for the company that determines the reputation of the company. The promotion trends are on meritocratic basis leading to six figure salaries with lucrative benefits that are attractive to most job seeker in finance field. The areas of stockbroking and corporate finance have potential for big salaries since payment is based on commission and as such, hard working employees can make a fortune form them. Mergers and acquisition is also a major part of investment banking where a number of finance graduates are employed in most countries. They mainly specialize in advising companies on which companies make good take over prospects thus advise potential investors on the best way to take over them. Their advises always range form simple advices to strategic advices on how to bid and also how to raise that amount in good time thus enabling them win such huge business investments. The graduates are expected to look at the financial analysis of such companies with emphasis on profits and strengths thus enabling them come up with concrete ideas which are useful in coming up with best decisions. The graduates are also involved in face-to-face meetings with clients and entrepreneurs thus enabling them to gain a lot of experience required in finance field within a relatively short period. They are also able to make connection, which can enable them climb the corporate ladder with a lot of ease. The capital markets run by government is also potential employer for graduates in finance field since it majorly deal with issues related to financial transactions. Here, the graduates are involved in buying and selling of shares for different firms trading in those areas. The companies issue bonds through investment institutions, which also employ a number of graduates in finance field to help them run their business on daily basis. The graduates are employed here as financial analyst in enabling most companies make decisions and profits in their trade. Graduates who work in this field successfully to process large amounts of information within a short time are capable of earning good commissions and promotions (Butchholz 3). Risk management is concerned with analyzing and managing enormous variety of risk for various financial firms and thus employs good number of graduates of finance. Here, the graduates are concerned with the repayment of financial loans and the analysis of the state of the market in managing risk prospects. They specialize in particular area of business usually in five years in analyzing credit risk, market risk, liquidity risk, legal risk together with operational risks involved in all the business transactions they are associated with. The financial deals have become complex in the recent years which has called for proper risk management in business operation thus giving finance graduates an opportunity to explore their talents. The globalization of most business deals has also globalize the business risks calling for more financial risk managers which is a plus for finance graduates. Business compliance is also a fast growing business financial field in the present world due to increase financial services in daily operations. Here, they employ finance graduates to ensure that the organization operates within the parameter set by the regulators to avoid any pitfalls that nay injure the reputation of the company. The compliance officers are also to ensure that everybody operating in the company is well aware of all the rules and regulation pertaining to their operations and they abide with them to the latter. They have a lot of liaison with the Human Resource Department in ensuring the smooth running of operation by the staff aimed at achieving the company goals within the stipulated time. They compliance officers are also involved in the investigation of suspected breaches of regulations and provide information to the necessary department for further actions if necessary (Ahmad 9). Traders deal with the day-to-day buying and selling of shares, bonds and other business assets thus is also a good career path for finance graduates. The job require graduates who are fast paced due to the speedy nature by which transaction takes place in checking share prices on the screen and the same time on the phone communicating with dealers about the happenings. Here, the finance graduates are involved in buying and selling shares on behalf of their clients who are aimed at maximizing their profits with minimal risks. The graduates can also work as researchers feeding the clients with information in companies they should deal with as far as buying and selling of shares is concerned. This enables their clients to make informed decisions when trading in buying and selling of shares and the graduates benefit by earning good commissions from their jobs (Peackock, 1). The banking sector is an ideal field for finance graduates who are willing to explore their financial talents due to their wide range of activities. Here, the financial graduates work in wide range of fields which include trade industry, money lending, foreign exchange transactions, financial advice, account management just but to mention a few. The retail banking has changed so much with great emphasis given to customer satisfaction, which calls for employment of more graduates most of which are form finance sector. Most of the banking institutions are being forced to major on wide branch network to reach as many customers as possible and this opens the window of opportunities for graduates with financial skills (Dutta & Eldos 11). Qualifications for a job in finance field The graduates in financial sector are expected to pass well in their exams due to high stakes involved in financial transactions, which require good understanding. Finance jobs are requiring proficiency in English language since it involves a lot of communication now and then. They are also requiring having a good mastery of mathematics due since finance issue relate to many calculations. Knowledge in other areas like economics, statistics, business, management, and communication of a second language is a plus to a graduate of finance. The competition for finance job is fierce as most employers ask for a degree or higher with certificates of other short courses related to finance as an added advantage (Sharma 8). The completion of internship and the performance during internship is also a good rating tool for employment for graduates of finance. The graduates are also required to have a lot of interest in business reports on TV, read financial related papers and magazines like the Financial Times in order to demonstrate to the potential employer the willingness to pursue a career in this industry. Recruiters also look for non-academic factors since they are also equally important in the success of the graduate when entrusted with a responsibility. A broad range of personal skills such as team player, trustworthiness, personal presentation, commitment to tasks and industry knowledge among others are also a prerequisite for employment in finance field (Wilton 13). Conclusion Despite the effects of global crisis, which saw many businesses close shop and retrenchment of several workers, business graduates still have bright prospects of employment. This is because the field of finance is so diverse and is expanding over the years giving most graduates hope for employment opportunities. The end of financial crisis has ensured improvement in firms that were adversely affected and the establishment of more firms, which predicts a bright future for business graduates in finance field. The graduates are thus required to be competitive in their job search in order to convince the employers that they are equal to the task. Works Cited Ahmad, Kamsuriah. Faridatul, Noor. & Rahmat, Masura. Relationship Between Employability and Graduate Skills. International Business Management. 2012. 6 (4):440-445, 2012. Oduma, Aninri. Leadership Competencies Desired by Employers of Business Education Graduates for Effective Job Performance in Business Organizations.. Multidisciplinary Journal, EthiopiaVol. 6 (2) Serial No. 25,2012. Pp. 171-180 Dutta, Andrew. and Eldos, Punnose. Factors Affecting Choice of First Employer: A Study of Indian Management Graduates. Global Business Review, 2010; vol. 11, 3: pp. 435-448. Sharma, Pramodita. 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