Essential subjects Finance students should learn

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Finance as we all know it is the life-blood of any business-be it large or small. And therefore it opens door to many fields and job oppurtunities. All the fields of finance majorly include many ways to effectively handle the wealth of the organization- like planning, budgeting, fund raising, costing etc.

Employers will be in search of all-rounded finance students. In other words, they look for students who have the knowledge of finance as well other skills essential for corporate.

Companies will place more emphasis on quantitative, strategic, critical decision-making and communicative skills, which are sometimes best developed in classes outside of business schools. In order to get best out of education during undergraduation, look for certain skills.

What do Companies want-

They suggested that more courses were needed to teach graduates to effectively manage individuals and team-driven organizations, provide tools for problem solving and provide better grounding in theory. They also recommended more courses outside of the traditional curriculum.

There are some subjects recommended to finance students apart from basic education, which is as follows-

Mathematics-

What students learn in school and college like algebra and other topics are helpful. Other than that, Statistics helps with decisions based on the likelihood of various outcomes and allows finance students to learn to reach conclusions about general differences between groups and large batches of information. It also explains the movements of a company’s stock.

Accounting-

Financial and managerial accounting courses teach finance students how to understand, record and report financial transactions, monitor the company’s budgets and performance, and examine the costs of the organization’s products and services. Accounting is largely covered in finance courses. What important is to have a grip on accounts.

Economics-

Economics looks at how scarce resources are allocated to achieve needs and wants. A course in macroeconomics will teach finance students to understand the impact of financial market activities on the overall economy. Microeconomics will help them understand the behaviors that occur within individual firms and among consumers, as well as how various financial decisions can impact a firm’s success.

Psychology-

On first thought, it appears how finance and psychology is connected. However, Behavioral Finance includes aspects of psychology. In order to understand the sentiments of the market, students will have to study this subject. Also, finance professionals can attain knowledge how clients make their decisions.

Writing –

A course in technical writing will teach students how to put forth strong, clear and organized ideas, purposes and explanations in memos, reports and letters.

 

Other skills-

Communications –

A communications course, such as public speaking, helps finance students present financial reports and explain the meanings behind equations and numbers, to colleagues in group settings. It also helps with the management of people and organizational relations, such as in delegating responsibilities to employees within financial departments. Business students also need courses in corporate communications, crisis communications and PR strategies, according to a 2005 Public Relations Society of America study. It states how financial scandals and downturns can affect shareholder support, consumer confidence and corporate reputation issues. Finance students will benefit from knowing how to handle corporate reputation issues, should they arise.

Ethics –

Corporate scandals, such as the Enron scandal, which involved irregular accounting procedures, have also encouraged some business schools, such as the University of San Francisco and Loyola University Chicago, to add a course in ethics to their finance curricula. These courses focus on moral development in an attempt to stem future misconduct in business environments. Business Ethics is therefore a must.

Conclusion-

Finance students will be given a bigger responsibility in corporate because they will be asked to handle money and to take decisions in which money is involved. Those finance majors who want to have an edge over their competition, both during the initial post-graduate job search and throughout their careers, will take advanced mathematics, accounting, economics, psychology, communications and writing courses to gain a deeper insight into their jobs and a better ability to work effectively with people.

Source:TOI 

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