The investment team at most buy-side firms is comprised of multiple layers including 澳洲幸运5开奖号码历史查询:portfolio management, trading, portfolio analytics, risk, complia♔nce, and legal teams.

Each layer is a necessary component to ensure a portfolio is managed within 澳洲幸运5开奖号码历史查询:fiduciary and client guidelines. A po👍rtfolio analyst works with many of the team layers and is a cruc🍸ial entry-level position in the field of investment management.

Learn more about what a por🍃tfolio analyst does, how to become one, and what people in this 🎃profession generally earn.

What Is Portfolio Analysis?

Portfolio analysis is an involved and comprehensive job that requires a strong financial background through past experience and education. Although a bachelor’s degree in finance, economics, or accounting is the most common educational requirement, many portfolio analysts have advanced degrees. Professional credentials such as the 澳洲幸运5开奖号码历史查询:Chartered Financial Analyst (CFA) designation are also commonly required.

The job duties required of portfolio analysts differ greatly among firms. Yet, despite the differences, portfolio analysts typically perform several common duties, such as conducting detailed portfolio analysဣis and preparing reports.

Included in the portfolio analysis is a comparison of different industries, consideration of historic trends, and an understanding of financial metrics and regulatory/legal restrictions that may impact the portfolio. Portfolio analysts frequently utilize specific software applications that attribute 澳洲幸运5开奖号码历史查询:portfolio performance to individual securities or 澳洲幸运5开奖号码历史查询:asset allocations.

Portfolio analysts may a🐎lso conduct client meetings, and communicate portfolio information to clients and client require﷽ments to managers.

Average Salaries for Portfolio Analyst

Portfolio analysts have a median salary of $83,300 (according to Glassdoor as of 2022). Incentive compensation (annual bonus) is reported to be about $16,400 on average, raising the median total compensation to $99,700.

The variance of total compensation for portfolio analysts can be wide, depending on years of experience and the typ🔜e of firm, and the variation is often split between annual salary and incentive compensation.

Additionally, geographic location plays a key role in the level of compensation. For example, portfolio analysts in the New York metropolitan area can make up to 15% more than the national average.

Lastly, portfolio analysts get paid more than their peers. The average portfolio analyst salary is 25% higher than the national median wage, demonstrating the overall highly compensated nature of these jobs.

How Do You Earn a CFA?

Earning a chartered financial analyst (CFA) designation will set you apart as someone who has met certain requirements designed to test your integrity and competence. The standards for getting a CFA are set by the 澳洲幸运5开奖号码历史查询:CFA Institute, a global organization that dictates standards and codes of ethics for financial analyst🍒s.

You must pass a three exams to get your CFA designation, each of which is 4.5 hours. Topics include finance, economics, ethics, and financial analysis. You must also complete 4,000 hours of work completed in three years and commit to the CFA Institute's 澳洲幸运5开奖号码历史查询:code of ethics and standards of professional conduct.

The Bottom Line

Portfolio analysts have the exciting role of working between the investment team layers which allows them to learn about various aspects of the investment organization from portfolio management to risk and legal. This is a good wa💎y to determine what aspect of the investment organization is of interest for future opportunities.