Considering a career in finance? Start here

The financial services sector is a significant employer in South Africa. It offers a wide range of opportunities for young people who want a dynamic, rewarding career.

In this article, we explore how to pursue a career in finance. We also explain why you should get your own financial house in order before managing other people’s money. 

Tip: Your credit score is a good place to start in understanding your financial position. Find out your credit score today.

Why pursue a career in finance?

Working in the financial sector is a rewarding choice, says Jean Penhaligon, the chief financial officer of assurance, tax, and advisory consulting firm SAPRO. A job in finance offers career growth and highly competitive remuneration.

Technology has removed many mundane processes, allowing employees to excel using their analytical and problem-solving abilities, especially in data analysis and financial modelling.

“These skills are transferable and can open doors to various industries and roles, including accounting, auditing, investment banking, financial analysis, wealth management, insurance, and fintech,” says Penhaligon.

Perhaps more importantly, financial experts can create a measurable impact in communities by delivering quality financial products and services.

“This appeals to Millennials and Generation Z as they are primarily interested in creating value and performing meaningful work,” says Professor Rashied Small, executive of the Centre of Future Excellence at the South African Institute of Professional Accountants (SAIPA).

Where to start

Although the minimum requirement is generally a degree in finance, accounting, economics, or a related field, the finance industry is not closed to those who do not have degrees.

“Many financial roles value certification, such as certified financial planner (CFP) or certified public accountant (CPA) designations, as evidence of expertise and dedication,” says Penhaligon.

With unemployment rife, it can be helpful to begin as a clerk in a start-up or small business to gain experience, or intern in a financial firm or department, which can help you gain practical experience and build a professional network. 

Small says the industry is evolving, and factors such as emotional intelligence, analytical thinking, creativity, risk management, and ethics are just as vital as numeracy. For this reason, a well-rounded individual is an asset in the sector.

Why is managing your own money important?

Penhaligon says managing your own money responsibly is crucial for a successful career in finance.

“Managing your personal finances leads to a deeper understanding of financial concepts, which makes it easier to relate to clients and provide better financial advice,” she notes. “Planning and saving for personal goals fosters the ability to help clients with long-term financial planning.”

Responsible money management teaches you how to mitigate risk, a critical skill in financial decision-making. In addition, being money-savvy gives you greater credibility. 

“If you have the skills to make effective financial decisions for yourself, you’ll be able to analyse the challenges others may face and come up with cash-saving strategies,” says Small. “I always say, if you want to be a business adviser, you must have managed your own business. Experience can’t be bought.”

How to get on sound financial footing

Penhaligon recommends the following steps to improve your personal finances.

Budget: Create and stick to a budget to track income, expenses, and savings. This habit helps to build discipline and ensures financial stability.

Save and invest: Start saving early and consider investing in low-risk, long-term investment vehicles such as mutual or retirement funds to grow wealth over time.

Manage debt: Minimise and manage debt responsibly. Avoid unnecessary borrowing and focus on paying off high-interest debts.

Create an emergency fund: Build an emergency fund to cover unexpected expenses and avoid resorting to credit in times of crisis.

Seek professional advice: Consult with a financial adviser to create a personalised financial plan based on individual goals and risk tolerance.

To make informed decisions, you should also continue to educate yourself about personal finance, investment strategies, and money management.

Tip: Saving and investing are vital tools to grow your wealth.