master in finance essay

master in finance essay

The Importance of a Master’s Degree in Finance

1. Introduction

The Master’s in Finance is for young professionals who wish to mold the industry superstructure and ensure conditions that allow economic activity to thrive. It is the very reason our economies are as resilient and innovative. Coincidentally, the prerequisites for ensuring that you are able to obtain the MFin degree. Seek to engage and grow your thinking in ways that are transformational. Before you enroll in a particular specialization, make it a point to survey the formats and the faculty participating. A program that will give you options that best suit your specific interests and ambitions. Consider highly professional faculty that is renowned for their industry experience in their chosen specialization, a robust academic faculty, and a high ratio of these two can almost guarantee that the program has the credentials to carry you to your successful career aspirations.

When you consider the popularity of the Master’s degree in Finance and the reasons people have for obtaining this coveted credential, what comes to mind? You can bet that job security and the seemingly endless supply of well-paying positions come to mind. And it is a fact that the MSc in Finance is a surefire way to increase one’s marketability and earnings potential. However, many are unaware of the role of the degree in shaping today’s markets and industries. Or that the master’s program in finance is but the first step in a lifelong course of learning, needed to secure and perform well in today’s global marketplace. The MSc in Finance diploma insulates you from the randomness of today’s job market. It also ensures immersion in the exacting rigor and standards of the international financial industry.

2. Benefits of a Master’s Degree in Finance

Whether you are considering studying finance right away or you are a professional who hopes to return to school later, you should consider the cost of a master’s degree in finance. You should be prepared to pay for your degree, as one in four students expects to cover tuition and room and board. Furthermore, starting a degree in finance is a good way to gain practical work experience, as the job market is expected to be strong in the coming years, and pursuing a master’s degree in finance is a good option for many people who want to continue in finance. Based on data from the United States Financial Education Act, junior graduates with a master’s degree in finance earn $1,000 more than positions that require a Bachelor of Finance 2019.

If you are currently in or just leaving your current job, or if you are a recent college graduate with a master’s degree in finance, you should start your career as an analyst or in a similar position. According to the Bureau of Labor Statistics, the financial and insurance industry is expected to create about 40,000 new jobs by 2020, which is 16% more than average. As a financial analyst, you should be willing to work long hours on high-stakes work and start learning about the business as soon as possible. For many in the financial industry, an MBA is the best degree for a research associate job. If you pursue a career in academia, a master’s degree in finance is an ideal choice. The main job in this field, a certain qualification and discipline, is required to be a good candidate for MBA positions on financial institutions, investment banks, and other related organizations.

A career in finance will require at least a graduate degree. However, people just entering the job market or current professionals, or people looking to make a career change may have difficulty finding time to review finance programs. A master’s degree in finance could be a desirable option because the benefits are numerous and the on-the-job knowledge that comes with a degree in finance. Whether you want to know if a master’s degree in finance is right for you or get information on the master’s degree that suits you, you should consider the benefits that come with your MBA degree, as well as the costs.

3. Curriculum and Specializations

Students should research the number of electives available and see if they believe they have an adequate number of electives that are valuable for their ulterior career path. It is expected of universities to require students to take basic (highly diluted) modules in diverse areas of finance. Though most of these requests are made for accreditation purposes, it is important to take them. Liquidity risk management is perhaps one of the reasons why we have a historically high correlation that includes banks and financial institutions (in spite of SOX, which separated them). Money finds the path to the highest returns no matter how many protective measures are in place – it is available in the NRSRO example. Ongoing credit risk management processes that use the Risk-Weighted Assets framework together with leverage measures for the IBs stand as both an academic and regulatory research challenge. These exercises are both economically altering as well as client-threatening.

There is an increasing demand for universities that offer consultants feedback regarding their training in financial technologies. This feedback serves as an honest data point for the university, since a significant recruitment success of these companies would help the universities sell prospective students on their program. These universities are thus motivated to establish a strong network of tutors that are embedded in their field (finance for MBAs, accounting for MS accounting programs, analytics for MS Data Science, etc.). Since these tutors are naturally knowledgeable about these industries, the students could also benefit from exposure to the infrastructure of these markets.

The curriculum of the course will include general finance courses and electives. It is important that you choose a university that offers the electives that are interesting to you, such as investment banking. Ideally, you should be able to earn course credits by working with a tutor, as these additional credits will give you an advantage when applying to positions.

4. Career Opportunities and Advancement

As many employers choose their staff to possess a minimum amount of finance education, yet they fail to require this of senior employees, if this is the scenario in respect to you, you should definitely consider returning to school in an effort to gain sufficient training to be considered for the promotion. This may mean that you’re going to earn a master’s in finance or a lesser qualification which allows you to accumulate enough credits to be considered a finance minor (in case you’re majoring in a related field). It is also extremely crucial to remember to consider certain career possibilities. It’s a good idea to explore select areas of finance. Also, a finance internship could potentially provide much-needed experience, project your acceptance of corporate and practical finance career roles, and accompany career advancement at the same time.

The importance of a master’s degree in finance ___ Career opportunities and advancement Many employers require staff to have at least a bachelor’s degree. However, many advanced positions and supervisory or management roles often demand a master’s degree. If you have the advanced knowledge and strategic skills, such as those gained through a master’s program, necessary for specific heavy-hitting finance career opportunities, you’re more likely to be viewed as a top candidate in comparison to another person who only has their bachelor’s degree in finance. By earning a master’s in finance, you’ll not only make yourself more marketable as a long-term, qualified finance professional, but you will also be capable of applying for a broader range of employment opportunities that pay more and incorporate a higher level of responsibility.

5. Conclusion

Regarding the gender variable, we observed that the level of the postgraduate course in finance reduced the wage gap, as the estimated difference in salary paid to the male graduate was reduced. Another relevant question is, by being a new source of income for business schools, the signaling theory should arise to denature possible distortions of incentives. Universities are required to properly design a continuing education strategy for the satisfaction of professionals in the financial sector. The Barth study highlights that for markets to benefit from the skill level of professionals in the financial sector, it is essential that firms retain these essential individuals.

The overall conclusion we can draw from the analysis is that human capital, represented by superior performance, reflected in a higher final mark (MD_GRADE) from completed studies, should be associated with graduates who have completed a university master’s program in finance. This relationship complements that the student who works with finance will obtain a higher estimated initial salary, as the financial decision-making skills of graduates who complete this level of study are higher than those of others who obtain postgraduate degrees in common disciplines, which denational market agents will recognize. The estimated value of the salary increase of the graduate who works with finance can also be interpreted as a pay increase was caused by the additional training required by the finance job market.