The Chartered Accountant qualification is one of the highest degree in India. Not only earning CA takes hard work but also relentless dedication on the part of CA students. To be in pace with the changing times, companies have incorporated data management systems. What if we tell you that building financial models is one of those crucial technical skills and pre-requisite that paves the way for a long-term successful career after CA qualification? Yes, financial modeling has become the foundation stone in carving a successful career in the corporate world, today.
Below are some of the most neglected, yet essential ways where financial modeling can help CAs in their careers:
- Treasury Department:â€¯
- If you become a senior manager in the treasury department of a company, you will most probably have to prepare and monitor your company’s cash flow, forecasts, and design various financial models.
- In this case, a course in financial modeling will come to your aid.
- Corporate Finance:â€¯
- In fields like corporate finance, you might land jobs that would need you to make decisions on business management, capital allocation, or transaction decisions.
- Today corporate finance teams investigate standardized approaches and flexible designs to develop solutions, for which financial models carry utmost importance.
- Asset Liability Management:â€¯
- In the asset and management department, managers resort to financial modeling to stick to simple types of analysis that helps in reducing the time and cost involved.
- Whether reporting the interest rate risk, projecting net interest income, or creating valuations, financial modeling plays a great role.
- Mergers and Acquisitions:â€¯
- Merger and Acquisition Analysts, today, are performing financial analysis of a company, conducting rigorous follow-through on before and after mergers & acquisitions with the help of financial models. They are responsible for analyzing a company’s business with a clear understanding of quantitative concepts; this is where financial modeling steps in.
- Equity and Company Valuation:â€¯
- CA’s often land up in equity research and valuation roles, wherein, being proficient in building financial models is counted as a basic trait.
- If you wish to simplify your financial projections or determine other dynamics effortlessly, mastery over financial modeling is essential.
- Management Reporting:â€¯
- Management reporting includes the preparation of financial reports, handling risk and regulatory, and reconciliations.
- Professionals involved in management reporting are accountable to both the finance and business team, and therefore, they need to be accurate in their forecasting and planning, which can only be done with the help of financial modeling.
Top reasons why not just CAs but other professionals too must choose the Financial Modeling courseâ€¯as a career option:
- Financial Modeling helps in acquiring skills that are required for financial analysis of new business models where the uncertainty is immense and very less or no historic data is available to support assumptions.
- Financial Modeling skills are of utmost importance for beginners wanting to take up Project Finance, Corporate Finance, Investment Banking, Mergers & Acquisition, or even Business Development as a career option.
- Helps in getting an estimate on the valuation of a business that helps in creating a comparison with similar businesses in the industry.
- Financial models also assist in creating monthly estimates of the actual performance versus the predictions made. This helps the business owners to adjust and ensure profits.
- Financial modeling exercise also helps in getting consistent results and is a crucial asset. Only a skilled expert will be able to scale the business to greater heights.
To summarize, the financial modeling course is not just for CAs but also for MBAs and CFAs. This course doesn’t have any specific eligibility criteria but due to the complexity of the course, it is much easier for students having a Mathematics, Statistics, and Economics background to understand the essentials of building financial models. All the Finance Managers wanting to upskill must also enroll in this program.â€¯
One of the most frequently asked questions that we get is,â€¯is financial modeling course useful?The answer is a very big yes. Financial modeling is very useful, significantly for those professionals who are already working or aspire to work in the Investment banking/consulting domain. The core purpose behind creating financial models and the factors that must be kept in mind while building financial models itself takes care of making you quite efficient at whatever you do. This course also provides a very good grip over MS Excel and other modules. Financial modeling skills help to present analysis/research findings or even other capital proposals.â€¯
Is Financial Modeling for You?
- It is a program exclusively designed to bridge the technical gap. In short, to have an added advantage and an edge over others, financial modeling is necessary.
- In today’s competitive world, where having an additional degree is the need of the hour, specializing in a degree like this will help you make your presence felt in the industry.
- If you are a CA fresher or finding your career path in the accounting realm, then this value-addition is all you need to stand out in the crowd.
- EduPristine is one such institute that providesâ€¯financial modeling course with placementâ€¯assistance. To know more, please feel free to contact our experts, who would be more than happy to assist you. All the very best and happy learning!