Equity Research Analyst Career Information
What an Equity Research Analyst does
In market research as a Equity Research Analyst you have to evaluate factors influencing investment like currency market positions, inflation rates and others. You have to understand the dynamics and markets to track all the relevant players, from the industry giants to new enterprises in the market.
As a Equity Research Analyst your work serves as a barometer for corporates and investors. You have to assess the value of the company and advise the company on profit making moves after studying the market. As a Equity Research Analyst you will also review the future earning potential of the company. In a way you are also keeping a check on the management decisions of the company.
As a Equity Research Analyst you will start off as a Junior Equity Analyst and then climb the higher rung of Equity Analyst, Senior Equity Analyst, Head of Research, Regional Fund Manager and finally the Global Fund Manager.
To be a successful Equity Research Analyst you need to have access to right information at the right time. You should also be able to foretell the market moves. Therefore, it becomes necessary for you ans a Equity Research Analyst to constantly upgrade yourself with the latest happenings in the market. Computer skills and being net savvy helps as it gives you easier access to information.
The job is very interesting and as a Equity Research Analyst you are at the higher end of the learning curve. The pay pack is also impressive but you would be spending most of your time at work. This is a place for workaholics.
• Broking Firms
• Mutual fund firms
• Investment banking firms
• Finance corporations
• Insurance firms
Capital markets all over the world as well as in India are witnessing major changes. With escalating interests of domestic and international players in India, there is an increasing demand for a more systematic approach. The Securities and Exchange Board of India (SEBI) is also trying to bring transparency in the dealings. All this has opened a lot of avenues for people planning their career as an Equity Research Analyst.
Economic growth and liberalisation has opened a number of opportunities in various fields like mutual funds, investment consultancy, broker firms, insurance companies, merchant banks, pension funds and other financial institutions.
Abilities & Traits Required
As an equity research analyst you need to have the following personality traits:
• Analytical thinking
• Ability to understand and evaluate
• Ability to forecast
• Good communication skills
• Convincing power
• Technology and net savvy
• Aware of the latest happenings in the field
If you have an MBA in Finance, or you are a Chartered Accountant or Chartered Financial Analyst then you qualify for the post of an Equity Research Analyst. Other accepted qualifications include Master of Business Finance and Master of Finance & Control.
As a Equity Research Analyst you could also pursue the postgraduate diploma course in Equity Research and Analysis offered by The Institute of Chartered Financial Analyst of India at Hyderabad.
You'll never regret choosing this career considering the money. But as a Equity Research Analyst you would hardly get time to socialize. In this high-pressure job money comes as another incentive to work on.
Junior Analysts earn around Rs 300000-800000 p.a.
With 5-6 years experience you could earn Rs 1000000 – 1200000 p.a. depending on the organisation and the post offered.
The MNC offer more moolah than the domestic ones. But it's not easy money. As a Equity Research Analyst you have to slog for it. You have to be exceptionally good in your job.