Among the core subjects of the business world – Finance – Accounting – Management – Economics, some of us may have difficulty to choose the right career pathway. We will take a closer to distinguish Accounting and Finance, and each pathway potentials.
Career potential – Who do you want to become?
If you are really interested with numbers, and you can see yourself working as an accountant or actuary, auditor or book keeper, then Accounting is the pathway. With knowledge in data analysis, you would be able to become Budget analyst, Credit controller or Financial consultant.
More options for Accounting graduates include: Forensic accountant, Payroll administrator, Risk assessor, Tax advisor and Treasurer.
Each of these careers offer a different range of salary. Let’s look at Actuary for more details. Actuaries play a key role in insurance companies by serving as analysts who help determine whether the company should issue an insurance policy and what the premium for that policy should be. They use a great deal of statistical analysis in their work, as they examine huge amounts of data related to costing and trends. Insurance companies must always maintain their financial health, and the role of the actuary is to manage risk in the delicate balance between issuing policies (and the costs paid for them) and the exposure to financial risk for the company.
With such a job description, Actuary officer expects to earn a median of US$ 83,844 per year in the States, and up to US$ 103,040 per year at their mid-career.
Others who choose the Finance pathway will enjoy their positions in the banking world, as Financial consultant, Commercial banker, or Financial trader. They can become Insurance officer or Quant specialist.
These position requires a very specific set of skills including:
- Understanding of industry practices and principles
- Strong theoretical knowledge
- Research skills
- Communication skills
- Knowledge of stock market, trade and investment
- Analytical skills
- Ability to understand and interpret numerical and statistical data
- Up – to – date knowledge of correct business practices
Qualified to become an investment banker, you can expect a handsome salary of US$ 92,263 at entry level, and US$ 132,257 when you’ve gained experience. What does an Investment banker do? Well, a whole lot! Investment Banker Tasks include:
- Assist companies, organizations, governments and their agencies in raising public or private money through debt and/or equity.
- Construct fully integrated, detailed financial models to support Merger and Acquisitions (M&A) transactions and Financial Planning and Analysis (FP&A) communications.
- Perform valuation analyses using various methodologies such as trading and transaction comparisons (comps), discounted cash flow and leveraged buyout (LBOs).
- Conduct industry and company research to engage clients and develop new business.
- Participate and manage all stages of the transaction process from opening pitch to closing investment contract(s).