How does studying BCom prepare me for career in banking & finance?

Owing to several pathbreaking developments in finance such as blockchain and Artificial Intelligence, traditional programmes are not able to impart skills of the future. Entering into a programme, which follows an age-old curriculum and learning outcomes could result in more harm than good in the professional lives of the candidates. Consequently, before getting into commerce education in any institution, students should understand the types of skills required to be successful in their career path. Although only undergraduate education may not be sufficient, it is necessary to reach the desired goal. For example, to be a financial analyst, one has to understand basic finance principles, where undergraduate education comes into the picture, but it will not be sufficient to excel in financial analysis. Candidates will have to study advanced financial analytics to be a successful financial analyst. In addition, undergraduate programmes should provide exposure to what is coming ahead in their respective career options.

Chartered Financial Analyst (CFA), Chartered Accountant (CA), Company Secretary (CS) and other related careers

CFA, CA and CS are professional qualifications and therefore are updated regularly to include the recent developments in the finance industry. CFA focuses on specific aspects of finance, where aspirants are suitable for careers in fixed income analysis, equity research, valuation and financial management. CA on the other hand, focuses more on accounting than finance which includes auditing, taxation, accounting processes & systems, financial reporting and forensic accounting to name a few. CS usually focusses on compliance requirements of a company; these could be regulatory or statuary requirements among other functions.

BCom education is the first exposure of a student to these diverse professional career options. It is advised that students should analyse the curriculum of different programmes before finalizing the institution for an undergraduate degree. For example, at Jindal School of Banking and Finance (JSBF) there is a faculty-led CFA club where a professor, who is a qualified CFA, provides guidance on how to prepare for CFA. JSBF has tie-ups with EY and KPMG (world-renowned accounting and consulting firms) to deliver courses at JSBF where students have an opportunity to earn their certification after clearing the exam, without any extra cost. JSBF’s corporate finance curriculum is designed to integrate the NISM’s certification course material for Financial Analysts. JSBF has also signed MOU with the Association of Chartered Certified Accountants (ACCA), a global professional accounting body. The BCom (Hons) programme at JSBF is closely aligned with ACCA curriculum in such a way that our students will be able to claim the exemption for 6 out of its 14 papers. Moreover, JSBF invites experts from the industry to deliver guest talks, where students get exposure to the current trends in the finance and accounting industry.

Investment Analyst and Investment Banker

Investment analyst and investment banker are both high risk and high reward career options and usually are among the best paid. As the name suggests an investment analyst is one who analyses various investment options (also related to CFA career option) and provides guidance on the best alternatives to maximise profits. Investment bankers, on the other hand, are the ones who are primarily engaged in raising money for the companies for eg. through Initial Public Offering (IPO). Both these careers require very specific skill sets and aspirants should look for programmes which could potentially offer courses related to capital markets and investment analysis like at JSBF.

FinTech and Commerce Industry

The new technology breakthroughs in recent decades have changed the way businesses conduct their day to day operations. FinTech is a short form for financial technology which can include any technology related to the financial sector. This can be simply a payment through mobile apps, automation of payment systems, digital currency, crowdfunding, algorithmic trading, among others. FinTech has endless scope to grow in the future, therefore, the financial industry needs graduates who understand these technologies and their application in addition to the basic understanding of the finance industry. Almost all careers in the near future will be highly reliant on technology. Before getting into any programme students should look out for institutes those expose participants to such developments in financial technology. For example, students have the option to choose from a variety of Fintech and AI-related courses offered by JSBF.

It is needless to say that students are required to work beyond the curriculum even if the curriculum is well designed, relevant and industry oriented. Students should look for programmes which provide institutional mechanisms to excel in these professional careers and brings out best in them.

About the author

Dr Vaneet Bhatia is an Assistant Professor and Assistant Dean-Outreach at Jindal School of Banking and Finance (JSBF), O.P. Jindal Global University.

 

 

 

 

 

 

Note: The views expressed in this article are solely author’s own and do not reflect/represent those of Shiksha