Yesterday, I got a call from Mr.Suresh Vora from Ahmedabad (name and city changed). Suresh wanted my help in designing his equity research career path.
Equity Research Career Conversation
Here’s what we discussed: Why Equity Research
Suresh: “ Hello Sir, I’m Suresh from Ahmedabad. I completed MBA in 2007 and since then I’m working as a faculty in an MBA institute here.”
I: “ That’s great, Suresh.”
Suresh: “ Thanks, but now I want to work in companies.”
I: “ Good. Have you started looking out? What’s the market saying?”
S: “ Well, I applied to three major companies in research and analysis domain, but couldn’t make it.”
I: “ Why? What’s the problem exactly?”
S: “ I cleared all rounds in selection process, except one,where they asked me to do ratio analysis and analyze financial statements using Excel.”
I: “ Yes, majority companies in financial analysis and research conduct this round to check actual skills of candidates.”
S: “ Sir, I have conceptual knowledge of various subjects in finance and I use the same to teach in my institute. I have 5 years teaching experience, so, the companies are not ready to take me as a fresher and since I don’t have practical skills required for the job, they can’t offer me the position of a Team Leader. What should I do now?”
I: “ Suresh, I think, you should first invest your time and energy in learning practical skills required for your job. If you’re really committed to work in companies in Equity Research area, you need to learn skills like – financial analysis, financial modeling, Excel, DCF and relative valuation, stock picking techniques and report writing. If you know the concepts well, it will take only a few months’ time to master these skills.”
S: “ When should I start learning these skills?”
I: “ Start immediately and practice well. Remember, employers look for skills. They want to know whether you can ‘deliver’. So, focus on doing the things on your own, rather than knowing many things at a time.”
S: “ Thank you sir.”
I: “ My pleasure and wish you all the best, Suresh.”
The above conversation is real. I get many such calls regularly asking for careers/Jobs in Equity Research
If you want to get into Equity Research career, start early. Start reading books on Investments. Read Annual Reports of companies and keep your eyes and ears open.
You too want to get into Equity Research? What problems are you facing ?
Write your equity research career queries in ‘Comments’ section below.