A career in financial analysis offers strong job stability, competitive pay and clear paths for advancement. If you’re drawn to working with numbers, evaluating investments and helping organizations make sound financial decisions, learning how to become a financial analyst is a practical first step toward a rewarding business career.
Financial analysts assess the performance of stocks, bonds and other investments, then use that analysis to guide decisions for businesses, banks and individual clients. Earning a bachelor’s degree — particularly in a field like business administration — is the most direct route into the profession, giving you the analytical foundation and financial knowledge employers look for in entry-level candidates.
The online Bachelor of Science in Business Administration (BSBA) program from Arkansas State University (A-State) provides the business fundamentals, financial coursework and critical thinking skills that prepare graduates to pursue a career as a financial analyst and a wide range of other business roles. Courses are delivered fully online, making the program accessible to working adults who want to build business credentials without pausing their careers.
What Does a Financial Analyst Do?
Financial analysts guide businesses and individuals in making investment decisions and managing financial risk. Their work involves gathering financial data, studying market trends and producing reports that help organizations plan budgets, evaluate investments and respond to economic shifts.
According to the U.S. Bureau of Labor Statistics (BLS), financial analysts work in banks, pension funds, insurance companies and other businesses, making this one of the more versatile business careers in terms of where you can build experience. This range of employer types means analysts can often find roles that align with a specific industry interest, whether that’s healthcare finance, government budgeting or private investment management.
Types of Financial Analysts
The financial analyst title covers several specializations. Buy-side analysts work for investment firms and mutual funds, recommending securities to purchase. Sell-side analysts work for brokerages and investment banks, producing research for clients and traders. Others work in areas like equity research, credit analysis, risk assessment or corporate finance — focusing on internal budgeting and financial planning rather than investment markets.
Daily Responsibilities
Day-to-day work for a financial analyst typically involves analyzing financial statements, building financial models to forecast performance, tracking cash flow and preparing presentations for management or clients. Strong financial analysis skills are central to all of these tasks, and most analysts spend significant time working in spreadsheet software and financial data platforms.
What Education Do You Need to Become a Financial Analyst?
For most entry-level financial analyst roles, a bachelor’s degree is the minimum educational requirement. BLS notes that most entry-level positions require a bachelor’s degree, and business is one of the most common fields of study for candidates entering this profession.
Common degree programs include finance, accounting, economics and business administration. A business administration degree builds a broad foundation in financial accounting, quantitative analysis and organizational decision-making — knowledge that directly aligns with what employers expect from new financial analyst hires. Some employers, particularly at large investment banks or asset management firms, prefer candidates who also hold a master’s degree or MBA, but a bachelor’s degree is the standard entry point for the field.
Online degree programs have made it more accessible for working adults to earn the qualifications needed to transition into financial analysis roles. Completing an online BSBA degree, for example, allows you to build financial modeling, data analysis and business communication skills on a flexible schedule while continuing to work.
Beyond the initial degree, some financial analyst positions — particularly those involving the sale of financial products — require FINRA licensing or professional certifications. These are typically earned after entering the field rather than before.
What Skills Do Financial Analysts Need?
Financial analysts draw on a mix of technical and interpersonal abilities. Building both types of skills — ideally through a combination of coursework and real-world experience — strengthens your readiness for entry-level roles and career growth over time.
Technical Skills
On the technical side, employers look for proficiency in financial modeling, data analysis and tools like Excel and business intelligence software. Familiarity with financial statements, budgeting processes and valuation methods is also expected. As more firms incorporate data-driven decision-making into their operations, comfort with quantitative analysis and financial data platforms has become increasingly important.
Soft Skills
For financial analysts, the interpersonal side of the role is just as important as the technical side. Strong analytical skills, clear written and verbal communication, and the ability to translate complex financial data into straightforward recommendations are central to the job. Analysts regularly present findings to management, collaborate with colleagues across departments, and explain investment rationale to clients — all of which demand strong interpersonal and communication skills alongside technical expertise.
How Much Do Financial Analysts Make?
Financial analyst salary figures vary by experience level, industry, and location. According to BLS, the median annual wage for financial and investment analysts was $101,350 in May 2024, with the lowest 10% earning less than $62,410 and the top 10% earning more than $180,550. BLS data also shows that overall employment of financial analysts is projected to grow 6% from 2024 to 2034, faster than the average for all occupations, with approximately 29,900 job openings projected each year across the decade.
Senior analysts and those who move into portfolio management or investment banking roles can earn substantially more as their careers advance. For context, financial managers — a common next step for experienced financial analysts — earned a median annual wage of $161,700 in May 2024, according to BLS data.
The job outlook for financial analysts is also supported by the breadth of industries that hire them. Banks, insurance companies, corporate finance departments and government agencies all employ analysts, giving the field resilience across economic cycles. For candidates entering with a strong degree and relevant skills, the financial analyst career path offers clear upward mobility.
How Can You Start Your Financial Analyst Career?
Breaking into financial analysis follows a relatively consistent path, regardless of which sector you want to work in. Here are the key steps most analysts follow:
- Earn a relevant bachelor’s degree: A degree in business administration, finance, accounting or economics gives you the financial analysis foundation employers expect. Focus on coursework in financial modeling, quantitative methods and data interpretation.
- Build work experience: Internships and entry-level positions in finance, accounting, or business analysis are the most reliable ways to gain practical work experience before applying for analyst roles. Many entry-level analysts begin in accounting or junior analyst positions before moving into more specialized work.
- Pursue certifications: The CFA Institute‘s Chartered Financial Analyst program is one of the most recognized credentials in the field. Completing all three levels, plus 4,000 hours of qualifying work experience, typically takes three to four years — but CFA holders are recognized by top financial institutions worldwide. For analysts who sell financial products, FINRA administers the qualifying exams required for registration in the securities industry.
- Apply for entry-level roles: Look for junior financial analyst, financial analyst I or business analyst positions as your starting point. Build from there as you develop your CFA certification and professional network.
Learn more about A-State’s online BSBA program.
About Arkansas State University’s Online BSBA
Arkansas State University’s online BSBA degree prepares students for careers across the full range of business disciplines — including finance, operations, marketing and management. The program is designed for working adults seeking a flexible path to completing a business degree without stepping away from their professional responsibilities.
A-State’s BSBA curriculum covers core business administration competencies including financial accounting, organizational behavior, data-driven decision-making and strategic planning — skills that align with what employers expect from entry-level business and financial professionals. Graduates leave the program with a broad foundation that supports careers in financial analysis, management and consulting.
Courses are delivered fully online, allowing students to balance coursework with work and personal commitments. A-State has been recognized for its commitment to accessible, affordable higher education. Explore the online BSBA program and take the next step in your business career.