Let’s explore in this article, what are the top six trends in the financial services industry and what career prospects for finance professionals will these changes bring with them.
The rise of big data
Big data has almost lost the pandemonium break in the field of data science. Data science, business intelligence and business analytics have penetrated almost every field. This has played a central role in redefining the way data is used. The management of the finance industry is looking for professionals who have a good knowledge of business analysis. Rather, it is a golden period for business analysis professionals, who will see a sudden increase in their demand. With the ease with which it is easy to collect data on consumers and their transactions, in addition to the development of techniques to use this information to build potential customers, the financial services sector is certainly called upon for a great change.
This wave of change will certainly lead to a high demand for business analysis professionals.
Company formation in India
Not to mention that in India, there has been a leaps and bounds of business expansion in the business start-up industry. The recent government also declared start-up financial assistance. You will see that many ideas are aimed at investors and that the financial services industry has a lot to do with them.
With the growing number of start-ups that need investment, there is a need for financial modeling professionals who will develop financial models to interpret the financial viability of projects.
Most Indian companies, recognizing the rising costs of setting up head offices in top tier cities such as Mumbai, Delhi, Bangalore, etc., have decided to outsource their KPO activities to Tier II and Tier III cities. such as Pune, Jaipur, etc. Resource overcrowding in Tier I cities has prompted companies to establish hubs in other cities, which has increased employment opportunities in those areas.
This proves that there are more and more job opportunities for finance professionals in Tier II and Tier III cities.
The threat of NPAs (non-performing assets) has given rise to the effective payment of debt since the attitude of multinationals is slowly changing these days. Businesses no longer have the attitude to view debt as a primary source of funds or to get involved in siphoning off funds. This can be a great incentive for honest contractors and discourage defaults.
Given this change, the demand for credit analysts and project finance experts who will assess the credibility and financial viability of the business is sure to increase.
With a lot of fuss about IFRS, it finally started to have its impact in the financial accounting of Indian companies. While voluntary adoption has already begun, some companies have been subject to mandatory adoption since April 1, 2016. This has necessitated the demand for IFRS professionals who can guide a successful change in financial accounting.
Payment banks are redefining traditional banking services as they can reach as many rural areas as possible that have never used formal banking services. With more and more payment banks obtaining licenses from the RBI, this movement has become widely popular. Big names in this industry include Paytm, Vodafone M-Pesa, National Securities Depositary, etc.
Payment banks will ensure that even rural areas have access to formal banking services, which, in turn, will lead to an increase in demand for financial support and professionals.
The Indian economy is making its mark on the global map. This is the reason why many multinationals open their units in India or outsource their operations to India. The Internet has already created a revolution and the financial services industry is making its mark. Let’s see what 2016 will bring us in the financial sector.