What is Research Analyst?
Research analyst is a profession where the main task includes research on specific fields, analyse the facts and figures, interpretation of the analysis and finally presenting the same to a structured audience that can relate to various areas like marketing, finance, operations, etc.
Types of Research Analysts
- Market Analyst – These are the ones who help the company to design, promote and market a company’s product or service.
- Operation Analyst – This is more focussed on the company’s operation and is the think tanks for companies to build an efficient and effective operational model. They use a combination of maths, statistics, and data mining techniques to develop efficient solutions.
- Economic Analyst – They are one to conduct research and prepare plans to cater to the economic problems about the production and the assembly line.
- Financial Analyst – They are more related to the financial planning and analysis of a company. They work on the budgeting and forecasting methods of a company and helps in cost optimisation and revenue generation techniques too.
- Equity Analyst – They conduct analysis on organisations, keep a check on the performance of stocks, and provide intelligent information to investment advisers and investors about the prospect of buying a particular share.
Roles of Research Analysts
- They primarily monitor and make predictions of the future outcome.
- Gauge the effectiveness of various strategies decided upon.
- Plan and implement procedures for collecting data, such as surveys, questionnaires, and opinion polls
- Accumulate information specifically about consumers, competitors, and market scenarios.
- Use of technology and statistical tools to analyse the collected data.
- Conversion of the complex data collected to easily understandable visuals like graphs or charts.
- Preparation of presentations and demos to be presented to higher management.
Skills of Research Analysts
- Adaptability to changing the work environment and work pressure
- Accuracy in analysing numbers and data
- Analytical skill set with an eye for detail
- Statistical knowledge to understand trends and patterns.
- Good organisational skills
- Awareness of commerce and economy
- Statistical knowledge is a boon in the field of research.
Qualifications and Requirements
- Bachelor’s degree in the specific field of research like finance, marketing or economics, etc. although a professional with a master’s degree is not uncommon in the area. MBA is a commonly sought degree among research analysts when it comes to a master’s degree.
- A research analyst who wants to grow in the field or shares or stocks or the field of economics will also have a quantitative background generally a postgraduate or doctorate in financial engineeringFinancial EngineeringFinancial engineering is field which uses mathematical techniques, financial theories, engineering tools and advanced programming techniques to solve critical and complex financial problems., statistics, economics, financial mathematics or econometrics.
- Candidates are required to be multi-faceted in different fields, which means just knowledge about finance won’t be enough. Still, it also requires a blend of accounting and statistics too to understand the overall scope of research analysis.
- The candidate also needs to have some knowledge about corporate strategies and market regulations or policies in the market. In addition to all these a gold hold on communication or written or presentation skills are a must.
Research Analysts Salary
- The average salary for a research analyst is $62,000 per year in the United States. A junior level or fresher with less than a year of experience can have an average salary of $49,000. Those having 1-4 years of experience, earn an average total compensation of $53,000.
- A mid hierarchy research analyst with 5-9 years of experience has an average total compensation of $63,000. An experienced analyst having 10-20 years of work experience can earn up to an average of $71,000. In their late-career or more than 20 years of experience, they can make a fortune of an average earning of $74,774.
- The overall career prospectus of research analysts is pretty good. On having a diverse skill set like accounting, finance, marketing, statistics, command over communication and other related skills, there demand in the market is always prevailing.
- The prospect even grows big when the candidate has a master’s degree in the field of market research, marketing, statistics, or business administration compared to candidates with bachelor’s degrees who are often prone to competition in the market. It is expected that the demands for research analyst in the market are expected to grow 20% from 2018 to 2028, so it proves there is quite a good demand for this profession.
This has been a guide to What is Research Analyst & it’s Definition, Here we discuss its types, roles, and skills along with qualification and job prospects. You can learn more about from the following articles –