Financial Management – The new scope in business schools

The finance department plays an important role in the success of a business entity. If the financial planning fails the whole business entity can’t survive. Finance managers are not only raising but are responsible for strategic financial planning and fiscal management for the organization of financial assets. This all is required for the success of the organization. Financial management strengthens the company using Enterprise Resource Planning software with accounting information systems and revenue recognition. They help in important decisions relating to investment, profitability, liquidity, and business expansion.

Financial management is the most popular domain among MBA/PGDM students. Students look at this domain as an absolute way to succeed with a handsome pay scale. This course includes knowledge of finance as well as management with the topics like the global economy, stock market analysis, risk management, foreign trade, banking and insurance, investment banking, market trade, and operations, etc.

Financial management is the new scope in business schools because every company or business organization whether government or non-government requires trained professionals to manage finance. After learning financial management, the students can grab job opportunities in the field of asset management, banking, hospitality, information technology, real estate, insurance, forex management, and investment sectors.

Let us discuss some profiles that qualified MBA/PGDM Financial management candidates can opt for.

Financial Advisor

If an MBA/PGDM financial management person wants to be a financial advisor then s/he has to handle the funds of the clients or organizations. You need to advise where to invest funds and the risk involved with other financial aspects. Apart from this financial advisor will always remain in touch with the client to revise the portfolio once made.

Equity Analyst

An MBA/PGDM in financial management can be an equity analyst. They research and analyze the company’s position in the stock market. They suggest when to buy and when to sell the shares. For this, they conduct research, analyze the results, and use financial modellingto generate yearly projections,

Corporate Controller

Accountants seek the help of MBA/PGDM financial professionals in the preparation of budgets, financial reporting, and in payroll tasks. These professionals help in risk management and in the preparation of various reports.

Hedge Fund Manager

MBA/PGDM in Financial management can opt for hedge fund managers because fund managers play an important part in handling investment goals like management of fees and liquidity position.

Investment Banker

Investment Bankers advise their clients on how to raise funds from the capital market i.e. by the issue of debt or equity. They play an important role when companies raise funds through initial public offers and at the time of mergers and acquisitions deals.

Risk Manager

Risk managers have to locate the risk and advise how to tackle these risks. While doing MBA/PGDM in financial management students learn about different types of risk, how to calculate these risks, and how to tackle these risks.

After completing MBA/PGDM in financial management candidates can develop analytical thinking, business intelligence, data management, predictive analysis, and how to do financial reporting. All big companies like Public sector banks, JP Morgan, Morgan Stanley, TCS, Wipro, Infosys, Accenture, KPMG, IBM, Ernst & Young Nomura are looking into these skills at the time of hiring people and all these qualities are owned by MBA/PGDM Financial management qualified professional.

The demand for financial management professionals is increasing day by day. This is an attractive domain among students because the average salary package of these professionals in India is approximately 10 lakh, but it varies based on various parameters like credentials, experience, industry, position, location, etc.

Though MBA/PGDM in Financial Management is a rigorous course as this course requires strong mathematical and statistical concepts with an analytic mindset yet financial management is an attractive domain because of its diversity and pay scale. Financial management professionals have various opportunities to settle their carrier. Hence Financial Management is the new scope in business schools because of its increasing popularity among students.

(The author is the Professor Finance, Jaipuria School of Business, Ghaziabad)