byDinesh
Updated on - 2 Jul, 2024
Diploma in Financial Analysis is a diploma level course in finance and accounts and can be completed in 1 to 2 years. This course offers training on aspects of financial management such as accounting, financial reporting, investment analysis, portfolio management etc. This trains the students on how to read and analysis financial statements, investment opportunities, how to manage portfolios and other financial assets. The program duration is normally between 12-24 months, which is determined by the curriculum and credits offered. It is also offered by some institutes as a part time diploma program which takes 18-30 months of time and it can be done while working.
The requirements for admission in the Diploma in Financial Analysis course is the candidates must have passed 12th standard education. A number of colleges have their own tests that are used in the admission processes. Some of the other tests that are conducted at national and state level are the CPT, CAT, XAT, MAT, ATMA, OMET and IBSAT amongst others and these also offer diploma course admissions based on merit that is established from the scores obtained in the exams. Company experience in accounts, finance or banking departments also assists the candidates to apply for this course in some B-schools and private colleges. Hence, good scores in particular management entrance examinations or work experience are crucial, to gain admission.
| Feature | Description |
|---|---|
| Full Form | Diploma in Financial Analysis (DFA) |
| Duration | 1 year (Full-time), Upto 2 years (Part-time) |
| Course Level | Postgraduate Diploma |
| Eligibility | Bachelor's Degree in any discipline |
| Top Colleges | Institute of Chartered Financial Analysts of India (ICFAI), upGrad, etc. |
| Entrance Exam | May vary by Institution, some have internal exams |
1. They should have passed 10+2 from any recognized Board with 50% marks in any stream.
2. This course can also be undertaken by any graduate in any discipline of study.
3. Some institutes may require prior work experience especially in the accounts, finance or banking industry.
4. Basic computer and analytical skills are essential when it comes to comprehending the concepts in course.
5. To effectively learn from the study material, fluency in English is required as all the material is in English.
| Subject | Important Topics |
|---|---|
| Financial Accounting & Analysis | Understanding Financial Statements (Balance Sheet, Income Statement, Cash Flow Statement), Ratio Analysis (Liquidity, Solvency, Profitability, Efficiency), Financial Statement Analysis Techniques |
| Financial Markets & Instruments | Equity Markets, Debt Markets, Derivatives Markets, Valuation of Financial Instruments |
| Quantitative Techniques for Finance | Financial Mathematics, Time Value of Money, Statistical Analysis in Finance, Regression Analysis |
| Corporate Finance | Capital Budgeting, Cost of Capital, Working Capital Management, Dividend Policy |
| Investment Analysis | Portfolio Management, Risk & Return Analysis, Investment Strategies, Security Valuation |
| Financial Modeling & Valuation | Financial Modeling Techniques, Discounted Cash Flow (DCF) Valuation, Company Valuation Methods |
| Financial Reporting & Analysis | International Financial Reporting Standards (IFRS), US GAAP, Financial Reporting Regulations |
| Job Title (Specialization) | Average Salary (USD)** |
|---|---|
| Financial Analyst (General) | $55,000 |
| Credit Analyst (Corporate Finance) | $62,000 |
| Investment Analyst (Portfolio Management) | $68,000 |
| Risk Analyst (Financial Risk) | $60,000 |
| Business Valuation Analyst (Valuation) | $65,000 |