studying finance-If you think the only people who need to understand finance are those who work in the bank, it’s time to rethink your worldview. It turns out that studying finance can have a massive impact on your life and probably isn’t as difficult as you might think. Whether you realize it or not, you use finance every day.
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What Is Funding?
Investopedia defines finance as “a broad term describing activities related to banking, debit or debit, credit, capital markets, money, and investing.”
Specifically, finance refers to all money-related decisions that consumers, businesses, and governments make daily, weekly, and yearly. It is similar to accounting, but there is one key difference:
Accounting focuses on the group and analysis of financial information.
Finance is more concerned with the implications of using different money management strategies.
While an accountant would try to analyze financial data to create a report, a finance professional would be more apt to synthesize this information to make an operating recommendation.
In other words, finances help us make better decisions with our money, and our accounting allows us to stay on top of things. You use finance in countless daily financial scenarios, such as:
Create A Budget For Your Grocery Store.
Decide how your paycheck to save and how much to invest or spend
As long as you salary your credit card, you pay every month
Americans need better financial education.
There is a real need in the United States for better financial literacy. Numerous studies have found that most Americans lack financial literacy:
1 in 10 Americans says they’re not entirely confident that the last time they made a significant financial decision, they met the right decision, according to the National Foundation for Financial Literacy 2019 Credit Counseling (NFCC).
According to the 2019 NCCC Financial Literacy Survey, 58% of Americans don’t have a budget, 25% don’t pay all their bills on time, and 5% have debts in collections.
According to FINRA’s 2018 Financial Capability for the United States report, only 34% of Americans were able to meet five essential financial literacy topics. The study found that the number of respondents able to take the financial literacy test has declined since 2009.
According to the Center for Financial Literacy at Champlain College, only five states — Alabama, Missouri, Tennessee, Utah, and Virginia — received a note teaching high school students about personal finance.
Financial misdirection and misunderstandings about money have particularly insidious economic ramifications, as many experts believe that high levels of household debt are among the causes of the recent recession (see, for example, this Bank of America Saint-Louis Federal Reserve report and this one). Interview with University of Chicago economist and author Amir Sufi).
This lack of financial consideration among Americans is embarrassing and underscores the great need for financial literacy.
Why Study Financing?
Given such dire circumstances, it is not shocking that many people are considering financing. Not only can a finance degree prepare you for a career in the financial services industry, but it can also prepare you for tasks in everyday life. 2018, study by the National for Education Statistics, economics, the discipline that funds finance, falls among the third-largest majority in the United States.
Students who deal with the topic of finance can take many different paths. For example, a bachelor’s degree in finance can prepare you for work in corporate and government financial management, banking, and financial planning. And since finance is about planning and analysis, studying finance and gaining a deeper understanding of finance empowers people to make better personal financial decisions.
Pursuing higher education in finance only strengthens these fundamentals. In addition to improving an individual’s chances of getting hired, a Master of Science in Finance can also help improve your critical thinking and problem-solving skills, which you can then use to make intelligent financial decisions.
Job Growth Prospects For studying finance Roles
A bachelor’s degree in finance can do your work in a range of business roles, including:
manager and operations
Financial manager (expected growth: 15%)
Budget Analyst (expected growth: 3%)
Credit Analyst
Financial analyst (expected growth: 5%)
Personal Financial Advisor (expected growth: 4%)
Loan Officers studying finance
The Bureau of Employment Statistics is the government agency exploring, analyzing, and publishing statistical data about the US labor market and using that data to generate job growth forecasts. While the BLS does not provide estimates for all of the roles listed above, it forecasts that overall business and finance occupations will grow by 5% between 2019 and 2029, adding approximately 476,000 new jobs to the US economy (individual growth forecasts Professions were note above for respective roles).
Growing employment opportunities in various corporations, non-profit organizations, and government agencies make finance an exciting and rewarding career. When you combine that with the obvious benefits to your day-to-day financial decision-making skills, a finance degree could be a smart move for those looking to pursue a career in business.
Earn your studying finance degree 100% online
Purdue University Global proposals the Bachelor of Science in Finance and the Master of Science in Finance accredited by the Accreditation Council for Business Schools and Programs (ACBSP). Both courses are offered entirely online, giving you the flexibility your busy schedule demands. Take the next step towards studying finance and request more information today.