Finance Career Insights and Opportunities in Malaysia
The finance sector is booming. Finance experts are in demand because of the growing economy and increasing global connections. In fact, according to predictions, assets under management will grow significantly in Malaysia's financial advisory market. By 2024, they are expected to reach US$19.35bn. There is a lot of demand for Islamic financial goods and services in Malaysia's Financial Advisory market. This is due to more Malaysians placing importance on financial planning, and a growing middle class is also a factor.
This article discusses finance jobs in banking, investments, corporate finance, and planning. It explores the skills and qualifications many employers in this sector prefer. If a finance career interests you, this article can help you learn more.
Here's what we'll talk about:
- Understanding the Malaysian finance landscape
- Jobs in finance: types of career opportunities
- Buy-side vs. sell-side finance careers: what's the difference?
- What skills do I need to pursue a career in finance?
- What certifications do I need to pursue a career in finance?
- The pros and cons of pursuing finance careers
- Salary and benefits in the Malaysian finance sector
- Is finance the right career for you?
- Conclusion
- FAQs
Understanding the Malaysian finance landscape
A finance career in Malaysia is a good choice due to the sector's promising outlook. The rising economy plays a big role in this, with the country ending up in the top 2 fastest-growing countries in 2023 in Southeast Asia. This was because of a growing demand for financial services, especially digital banking.
Many analysts believe that economic growth will continue in 2024. This means more jobs, especially in the fast-growing financial industry. Here's a quick look at the opportunities and challenges in the Malaysian finance landscape.
Opportunities
- The economy is growing, and people need help with their money. This means there should be plenty of jobs in banking, investing, and advisory services.
- Malaysia is becoming a big player in Asia's finance industry, so you have many opportunities to advance in your career and work in other countries.
- There are many new finance companies throughout the country, which provide opportunities to enter the finance sector.
Challenges
- The December 2023 Labor Force Survey showed that employment in finance and insurance fell. The rate was lower than in December 2022.
- While there's a general belief that 2024 will be a good year for the financial services sector, analysts predict a slower pace of growth.
Jobs in finance: types of career opportunities
The finance sector offers many career opportunities. These cover various fields of interest and different skills. Here is a list of careers in finance that may be available to you:
Quantitative and analytical roles
Quantitative and analytical roles work with data to calculate or interpret information. Here are some common quantitative and analytical roles:
Data scientist
Data scientists analyse complex financial data and use it to inform organisational decisions. Qualifications typically include a degree in data science, mathematics, statistics, or related fields. The average monthly salary for a data scientist is between RM 5,800 to RM 7,400.
Data analyst
Data analysts gather and interpret financial data. They do this to find trends and make recommendations. You usually need a degree in mathematics, economics, finance, or a related field for this job. The average monthly salary for a data analyst is between RM 3,500 to RM 5,500.
Research analyst
Research analysts conduct in-depth financial research to provide insights for investment decisions. They typically have a degree in finance, economics, or accounting. The average monthly salary for a research analyst is between RM 3,700 and RM 4,300.
Risk analyst
Risk analysts assess and mitigate financial risks within organisations. Qualifications often include a degree in finance, economics, or risk management. The average monthly salary for a risk analyst is between RM 4,700 to RM 6,300.
Forex currency trader
Currency traders analyse and trade currency pairs in financial markets to generate profits. A strong understanding of forex markets and trading experience is essential. The pay for forex trader jobs can vary widely.
Client-facing roles
Client-facing roles involve working directly with your company's customers. Some client-facing roles include:
Financial analyst
Financial analysts provide investment guidance to clients based on financial data analysis. They typically have a bachelor's degree in finance, accounting, or related fields. The average monthly salary for a financial analystis between RM 3,800 and RM 6,300.
Private wealth manager
Private wealth managers assist high-net-worth individuals in managing their investments and financial planning. This role typically requires certifications. These include a Certified Financial Planner or Chartered Financial Analyst (CFA) designation. Salaries for wealth manager jobs vary and can reach RM 7,800 per month.
Investment consultant
Investment consultants advise clients on investment strategies and portfolio management. Employers may prefer candidates with a background in finance, economics, or related fields. A CFA designation or a Master of Business Administration degree may be an advantage.
Transaction-focused roles
Transactional roles are typically financed-related roles that involve finance transactions. Some typical transaction-focused roles include:
Investment banker
Investment bankers facilitate mergers, acquisitions, and capital-raising activities for organisations. A degree in finance, accounting, or a related field is necessary. Strong analytical and negotiation skills are essential. Having experience in the field may make it easier to get an investment banking job.
Investment strategist
Investment strategists devise strategic plans and investment recommendations. They consider clients' financial goals and risk tolerance and analyse market trends, economic conditions, and various investment opportunities. Investment strategists may specialise in specific asset classes or industries. Qualifications often include a CFA designation or related certifications.
Stockbroker
Stockbrokers buy and sell securities for clients. The job requires strong communication skills and market knowledge. Aspiring Stockbrokers must have a bachelor's degree in a related area, such as finance management, economics, accounting, business administration, or something similar. You don't have to have a master's degree to move up in your job, but it is a good idea to get one. Those with a Master of Business Administration (MBA) will be sought after and may even get hiring bonuses and better pay.
Sales and trading professional
Sales and trading professionals manage the buying and selling of financial products, including stocks, bonds, and derivatives. The requirements depend on the specific sales and trading role. A degree in finance, economics, or a related field is common.
Sales and trading professionals need market expertise and strong communication and negotiation skills. They may earn a base salary along with potentially large performance-based bonuses.
Portfolio manager
Portfolio managers oversee investment portfolios and make strategic investment decisions for clients. Qualifications often include a CFA designation or related certifications. You need a degree related to finance or business to do this job, and extensive experience may also be necessary. Portfolio manager jobs have varying monthly salaries. The highest ones are in the range of RM 7000 to RM 8000.
Private equity associate
Private equity associates find, evaluate, and manage private equity investments. They review possible investment opportunities, conduct due diligence, and assess risks. With their expertise, they identify promising companies and develop strategies to maximise returns. A background in finance or accounting is typical. Skills in analysis, research, and communication are also essential.
Chief investment officer
Chief investment officers are high-level executives responsible for managing and overseeing investment portfolios. They develop investment strategies. They assign resources and decide on investments based on the organisation's financial objectives. They often work with other senior leaders. They do this to align investment strategies with business goals.
A chief investment officer needs a deep understanding of and experience in finance, including financial markets, risk management, and portfolio management.
Buy-side vs. sell-side finance careers: what's the difference?
In finance, careers fall into buy-side and sell-side roles. Here's a quick look at what these are and how they compare.
Buy-side jobs in finance
Buy-side jobs involve handling investments to make profits for clients. Professionals in these roles directly invest money for entities. These include asset management firms, pension funds, endowments, and private equity firms. Examples of buy-side jobs include:
- Portfolio manager: Manages investment portfolios and makes strategic decisions on asset allocation.
- Research analyst: Conducts in-depth research to find investment opportunities and provide recommendations.
- Private equity associate: Evaluates and manages private equity investments in companies.
- Hedge fund manager: Manages hedge funds; plans and makes investments to generate returns.
- Real estate investment analyst: Analyses real estate opportunities and investments for clients.
Sell-side jobs in finance
Sell-side roles involve providing services to clients. These services include trading, market-making, underwriting, and financial advice. Professionals on the sell side work for investment banks, brokerage firms, and other financial institutions. These institutions help to carry out transactions in the financial markets. Examples of sell-side jobs include:
- Investment banker: Facilitates mergers and acquisitions, underwrites securities, and advises clients.
- Equity research analyst: Analyses companies and stock markets to recommend investments.
- Wealth advisor: Provides financial planning and investment advice to high-net-worth people.
- Risk analyst: Assesses and manages financial risks within banking institutions.
Comparison table
Here's how the two types of finance careers compare:
Buy-side | Sell-side | |
Key focus | Making investment decisions to generate returns | Facilitating transactions and providing investment advice |
Primary activities | Investment management, portfolio optimization | Underwriting, market making, trading |
Clients | Managed funds, retail investors, institutional investors | Corporations, financial institutions, high-net-worth individuals |
Revenue source | Investment returns, management fees | Commissions, fees, trading activities |
Examples of jobs | Portfolio manager, investment analyst, hedge fund manager | Investment banker, stockbroker, equity research analyst |
What skills do I need to pursue a career in finance?
If you want to work in the finance industry, focus on developing financial acumen, technical proficiency, and soft skills. This can help you excel in your chosen career path.
Quantitative roles | Client-facing roles | Transaction-focused roles | |
Financial knowledge | Essential to understanding financial markets, products, and analytical processes | Understanding of financial concepts, investment strategies, and client requirements | In-depth knowledge of financial markets, investment banking processes, and transactions |
Technical skills | Proficiency in programming languages, such as Python, R, or SQL, for data analysis and modelling | Basic knowledge of programming languages for data manipulation and basic automation tasks | Proficiency in financial modelling, data analysis, and software used in investment banking activities |
Soft skills | Strong analytical skills, attention to detail, problem-solving, and critical thinking | Effective communication, relationship-building, and client-management skills | Excellent communication, negotiation, and interpersonal skills for deal-making and client interactions |
What are front, middle, and back office roles in a finance job?
It's important to understand the differences between front, middle, and back office roles. This can help you decide which career in finance is right for you. The finance sector offers numerous opportunities, so you can find a role that best fits your skills, interests, and goals. Here's how the three compare:
Front office
- Job scope: Client-facing activities that directly contribute to firm revenue generation.
- Examples: Trading, portfolio management, sales, customer service.
- Responsibilities: Include trading, portfolio management, and interacting with clients.
Middle office
- Job scope: Core support tasks that help the firm's services run smoothly.
- Examples: Risk management, information technology (IT), corporate finance, portfolio management, and research (especially if these departments are not client-facing).
- Responsibilities: Tasks focus on risk management, IT support, and other core support activities that enable the firm to operate successfully.
Back office
- Job scope: Houses administrative and support functions necessary for the firm's operations.
- Examples: Accounting, human resources, payroll, and operations.
- Responsibilities: Carry out the accounting, payroll, operations, and other administrative functions essential to the firm's operations.
Comparison table
Here's how front, middle, and back office finance roles compare:
Front office | Middle office | Back office | |
Definition | Client-facing activities for revenue generation | Core support activities for firm operations | Administrative and support functions |
Examples | Trading, portfolio management, sales | Risk management, IT, corporate finance | Accounting, HR, operations |
Responsibilities | Revenue generation, client interactions | Risk management, IT support, research | Administrative tasks, operations support |
What skills do I need to pursue a career in finance?
If you want to work in the finance industry, focus on developing financial acumen, technical proficiency, and soft skills. This can help you excel in your chosen career path.
Quantitative roles | Client-facing roles | Transaction-focused roles | |
Financial knowledge | Essential to understanding financial markets, products, and analytical processes | Understanding of financial concepts, investment strategies, and client requirements | In-depth knowledge of financial markets, investment banking processes, and transactions |
Technical skills | Proficiency in programming languages, such as Python, R, or SQL, for data analysis and modelling | Basic knowledge of programming languages for data manipulation and basic automation tasks | Proficiency in financial modelling, data analysis, and software used in investment banking activities |
Soft skills | Strong analytical skills, attention to detail, problem-solving, and critical thinking | Effective communication, relationship-building, and client-management skills | Excellent communication, negotiation, and interpersonal skills for deal-making and client interactions |
What certifications do I need to pursue a career in finance?
Here are the certifications you can obtain for a career in finance:
Financial advisor insurance certifications
This certification gives you the knowledge and skills to provide good insurance advice. To become an insurance agent, you'll need to be licensed by the Insurance Commission. This entails passing its qualifying exam and paying an application fee.
- Best for: Aspiring financial advisors, insurance agents, wealth managers, or risk managers.
- Duration: Varies depending on the program provider, typically ranging from a few months to a year.
- Fees: Vary, but it can be between RM10,000 and RM15,000.
Certified Financial Management Specialist certification
The Certified Financial Management Specialist certification exam tests basic financial knowledge. It covers topics such as capital markets, corporate finance, and investment management.
- Suitable for: Graduates of finance-related degrees, faculty members, and experienced professionals in financial management roles.
- Duration: The exam is four hours long, with two parts consisting of 120 multiple-choice questions.
- Recertification: This doesn't require recertification as it's good for a lifetime.
Certified Financial Consultant program
The Certified Financial Consultant program helps develop participants' corporate finance and valuation skills. The curriculum consists of 12 topics. These can benefit various finance professionals, including investment bankers, venture capitalists, and corporate finance executives.
- Best for: Aspiring specialists in corporate finance and those interested in financial consulting and valuation roles.
- Duration: Depends on individual study pace.
Registered Financial Planner certification
The Registered Financial Planner (RFP) certification process has three requirements. These include completing the RFP program which covers various topics related to financial planning. Passing the RFP exam is also necessary. You also need a minimum of two years of experience to obtain the RFP designation.
- Suitable for: Finance professionals, including accountants, bankers, credit officers, financial consultants, and real estate agents.
- Duration: Around two months for the RFP program.
- Recertification: Annual renewal is necessary to maintain the RFP designation. This involves meeting continuing education requirements.
Other certifications
These are notable certification programs you can also consider:
- Certified Management Accountant certification
- Advanced Financial Statement Analysis program
- Financial Modeling Masterclass
- Cashflow and Working Capital Management program.
Degrees
Here are some degrees that can help you enter the finance industry:
Bachelor of Science in Financial Management
This degree program covers many parts of financial management. It includes investment analysis, financial planning, risk management, and corporate finance.
- Best for: Aspiring financial analysts, investment managers, corporate treasurers, and financial planners.
- Duration: Four years for full-time study.
- Fees: Tuition fees vary per semester in public universities. Costs are higher in private institutions.
Bachelor of Science in Accountancy
The accounting program focuses on accounting principles. It covers financial reporting, auditing, taxation, and management accounting.
- Best for: Aspiring accountants, auditors, tax consultants, and financial controllers.
- Duration: Four to five years.
- Fees: Costs vary per semester and may be higher in private universities.
Bachelor of Science in Business Administration, Major in Financial Management
This program has core business courses and a finance specialisation. It covers topics such as financial markets, investment analysis, and financial planning.
- Best for: Aspiring financial managers, investment bankers, financial advisors, and risk managers.
- Duration: Four years of full-time study.
- Fees: Tuition fees vary per semester in private institutions.
Bachelor of Science in Economics
The economics program emphasises economic theories, policy analysis, econometrics, and financial economics.
- Best for: Aspiring economic analysts, financial planners, market researchers, and policy analysts.
- Duration: Four-year program.
- Fees: Tuition fees vary per semester in public universities. They are higher in private institutions.
The pros and cons of pursuing finance careers
Here are some of the advantages and disadvantages of pursuing a career in finance:
Pros
- Finance professionals can make a lot of money. This is especially true in investment banking, financial analysis, and wealth management.
- The finance industry has many chances for career advancement. You can work for top financial institutions and big corporations.
Cons
- The industry is competitive, and workers need to keep up with market trends to be successful. This requires long hours and hard work.
- Finance jobs can be stressful and pose challenges unique to the industry or position. These may involve dealing with financial risks and working in a fast-paced environment regularly.
Salary and benefits in the Malaysian finance sector
Salary ranges
Here's an overview of what you may earn in various finance positions:
- Financial analyst: RM 3,800 to RM 6,300 per month.
- Investment banker: RM 5,300 to RM 6,800 per month.
- Wealth manager: RM 4,200 to RM 5,700 per month.
- Risk analyst: RM 4,700 to RM 6,300 per month.
- Portfolio manager: RM 6,100 to RM 7,000 per month.
Additional benefits and perks
Here are some of the advantages of working in the finance industry:
- Performance bonuses: Variable bonuses based on individual and company performance.
- Health insurance: Comprehensive health coverage, including medical, dental, and vision benefits.
- Retirement plans: Contribution to retirement savings plans such as a pension or provident fund.
- Training and development: Opportunities for continuous learning and professional development.
- Flexible work arrangements: Some companies offer flexible work hours and remote work options.
Is finance the right career for you?
Here are a few skill-related questions to help you decide if a career in finance suits you:
- Analytical skills: Do you know how to analyse data, numbers, and trends critically?
- Attention to detail: Are you careful and thorough in financial analysis and risk assessment tasks?
- Strong work ethic: Are you willing to work hard and give extra hours to excel in a demanding industry?
- Risk management: Can you handle pressure and make calculated decisions in high-stakes situations?
Traits suited for success in finance
Here are several traits and qualities that can help you succeed in the industry:
- Analytical thinking: The ability to interpret complex data and draw logical conclusions.
- Problem-solving: Aptitude for resolving financial challenges and proposing effective solutions.
- Communication: The capacity to express complex financial concepts clearly to diverse audiences.
- Resilience: Readiness to adjust to market changes and overcome challenges in a fast-moving industry.
Conclusion
The finance sector offers many opportunities. A career in finance can be rewarding and exciting. But it also comes with challenges. To do well in this industry, a degree in finance, accounting, business, or a related field can be helpful. Soft skills such as analysis, attention to detail, problem-solving, and communication are key.
If you're considering a career in finance, weigh the pros and cons. Does it align with your goals? Is it a good fit for your skills and qualifications? Choose wisely and make sure the career you choose suits your interests and strengths.
FAQs
Here are answers to common questions about finance careers:
- What is the highest-paid finance job?
This is likely an executive-level finance professional, such as a chief financial officer. Managerial positions in investment banking and wealth management also pay well.
- Is finance in demand in Malaysia?
There are many finance careers in the job market, and analysts expect the number to increase. This is due to the country's growing economy and rising middle class. The increasing demand for financial planning and digital financial services is also a factor.
- What careers can you pursue with a finance degree?
If you have a finance degree, you can be a(n):
financial analyst
investment banker
portfolio manager
risk analyst
financial planner
corporate treasurer
personal financial advisor
chief financial officer.
- What can you do to be more competitive in the finance job market?
To shine in the finance job scene, you can start by obtaining a relevant degree. You can also pursue advanced studies and certifications. Make sure you keep up with market trends and the latest technology.
