Finance Today
Every business needs finances, or money, to survive. Whether you are just starting out, or have been playing the game for centuries, no business can thrive without finances. The financial department in every business helps decide where to best invest the company's money in order to see the most profit. It's also beneficial to have a finance department in order to figure out a budget and help to ensure that the company stays within the budget.
Finance Careers
1. Financial Analyst
2. Actuary
3. Banker
4. Financial Advisor
5. Financial Planning Manager
2. Actuary
3. Banker
4. Financial Advisor
5. Financial Planning Manager
Finance Mentor: Steve Wrigley, Budget Analyst
1Q. When and how did you get involved in this work?
1A. I was in college in the 90s when the economy was doing good and it was a popular thing to go into finance. Also I thought it was a stable career.
2Q. What’s a typical day like for you or someone in a similar position?
2A. For part of the year I deal with budget creation and when the fiscal year begins in April, I work with the directors and variance reports, which show how much someone is spending versus what was in the budget.
3Q. What do you like most about your work?
3A. I love what I do. I love working with numbers. I also like the relationships I have with my coworkers. It's not rare to have coworkers you get along with, but it definitely helps you get through the day.
4Q. What talents or skills do you think are the most crucial to success in this work?
4A. You have to be willing to adapt to all the changes. Change is a constant thing.
5Q. Knowing what you know now, would you approach this career in the same way?
5A. I might not have gone into business or finance. I might have gone into accounting. Being a CPA is very valuable these days.
1A. I was in college in the 90s when the economy was doing good and it was a popular thing to go into finance. Also I thought it was a stable career.
2Q. What’s a typical day like for you or someone in a similar position?
2A. For part of the year I deal with budget creation and when the fiscal year begins in April, I work with the directors and variance reports, which show how much someone is spending versus what was in the budget.
3Q. What do you like most about your work?
3A. I love what I do. I love working with numbers. I also like the relationships I have with my coworkers. It's not rare to have coworkers you get along with, but it definitely helps you get through the day.
4Q. What talents or skills do you think are the most crucial to success in this work?
4A. You have to be willing to adapt to all the changes. Change is a constant thing.
5Q. Knowing what you know now, would you approach this career in the same way?
5A. I might not have gone into business or finance. I might have gone into accounting. Being a CPA is very valuable these days.
Key Finance Terms
ROI - return on investment; income that an investment provides in a year
Net Present Value - the sum of the present values of the individual cash flows.
Stocks - A type of security that signifies ownership in a corporation and represents a claim on part of the corporation's assets and earnings.
Bond - a loan from an investor borrowed for a specified amount of time at a fixed interest rate.
Stockholder - someone who owns shares or stocks of a company
Government Securities - Bonds, notes, and other debt instruments sold by a government to finance its borrowings.
Mutual Fund - An investment program funded by shareholders that trades in diversified holdings and is professionally managed.
SEC - Securities and Exchange Commission; protects investors and enforces laws and regulations.
Stock Markets - Organized buying and selling of companies' stocks.
Intial Public Offering (IPO) - The first sale of stock by a company to the public
Venture Capital - Funds made available for startup firms and small businesses with exceptional growth potential
Interest Rate - a rate that is charged or paid for borrowing or investing money
Dow Jones Industrial Average - an index of the prices of shares of companies on the New York Stock Exchange
Net Present Value - the sum of the present values of the individual cash flows.
Stocks - A type of security that signifies ownership in a corporation and represents a claim on part of the corporation's assets and earnings.
Bond - a loan from an investor borrowed for a specified amount of time at a fixed interest rate.
Stockholder - someone who owns shares or stocks of a company
Government Securities - Bonds, notes, and other debt instruments sold by a government to finance its borrowings.
Mutual Fund - An investment program funded by shareholders that trades in diversified holdings and is professionally managed.
SEC - Securities and Exchange Commission; protects investors and enforces laws and regulations.
Stock Markets - Organized buying and selling of companies' stocks.
Intial Public Offering (IPO) - The first sale of stock by a company to the public
Venture Capital - Funds made available for startup firms and small businesses with exceptional growth potential
Interest Rate - a rate that is charged or paid for borrowing or investing money
Dow Jones Industrial Average - an index of the prices of shares of companies on the New York Stock Exchange
References
http://en.wikipedia.org/wiki/Net_present_value
http://www.investopedia.com/terms/s/stock.asp#axzz1bpEXGnMb
http://www.investopedia.com/terms/b/bond.asp#axzz1bpEXGnMb
http://www.businessdictionary.com/definition/government-securities.html
http://www.investopedia.com/terms/m/mutualfund.asp#axzz1bpEXGnMb
http://www.investorwords.com/2640/IPO.html
http://www.investorwords.com/5236/venture_capital.
http://www.investorwords.com/1566/Dow_Jones_Industrial_Average.html
http://www.investopedia.com/terms/s/stock.asp#axzz1bpEXGnMb
http://www.investopedia.com/terms/b/bond.asp#axzz1bpEXGnMb
http://www.businessdictionary.com/definition/government-securities.html
http://www.investopedia.com/terms/m/mutualfund.asp#axzz1bpEXGnMb
http://www.investorwords.com/2640/IPO.html
http://www.investorwords.com/5236/venture_capital.
http://www.investorwords.com/1566/Dow_Jones_Industrial_Average.html