Finance jobs are disappearing | LinkedIn (2024)

FAQs

Finance jobs are disappearing | LinkedIn? ›

The finance industry has shed hundreds of thousands of jobs since the 2008 crisis, partially due to curbs on risk-taking and more automation. Front-office headcount for investment banking and trading dropped in 2018 for a fifth year, according to Coalition Development, while hedge funds have also cut back.

Amid recent redundancies by the major banks, new forecasts show hiring in the financial services sector will decline in 2024.

Not to mention, human financial analysts bring creativity and critical thinking AI doesn't tend to possess. So, it is unlikely that AI will fully replace financial analysts, or at least any time in the near future. Instead, they may work together to improve efficiency and accuracy in decision-making processes.

The promises of digitized finance are very real: reduced costs, faster reporting, better insights, an empowered workforce, competitive advantage. That doesn't mean they're guaranteed.

Yes, both accounting and finance are highly-sought after careers. Many companies need experts in these fields to help better manage money and make smart financial decisions. This high demand means there are plenty of job opportunities for people with education and skills in accounting and finance.

All is not doom and gloom. According to the US Bureau of Labor Statistics, the general “financial managers” category of jobs will see 17% growth through 2030. 2021 might be seeing the rise of these jobs in Finance: Financial Analysts, Advisors, Financial Managers, Accountants, and Actuaries.

The U.S. Bureau of Labor Statistics (BLS) projects that business and finance jobs will be in demand from 2022 to 2032, with 911,400 openings on average each year. Certain roles within finance, like financial examiner, are expected to grow over six times faster than the rate for all occupations nationwide.

Can AI replace actuaries? AI is unlikely to completely replace actuaries. While AI and machine learning (ML) can automate certain tasks, such as data processing and preliminary analysis, the role of actuaries involves complex decision-making, strategic planning, and ethical considerations that require human judgment.

AI won't replace investment bankers, but it will enhance them. Still, there are specific job roles that AI may replace: data analytics, data entry, research analysis, customer support, traders, financial analysis, administrative functions, and compliance officers.

What is the hardest job in finance? ›

One of the most difficult jobs in Finance is to be the CFO of a PE firm or a PE-backed company. According to a Big 4 firm's survey, turnover of CFOs in PE and PE-backed companies is notoriously high, reaching 80% in less than five years; half of whom are gone within three years.

AI and machine learning are the bedrock of the current fintech evolution, enabling personalized financial services and improving decision-making processes. Big data analytics, driven by these technologies, help us in understanding customer patterns and offering more tailored products.

In 2024, we can expect to see more applications of blockchain in the financial sector. In particular, blockchain has numerous potential applications in regulation technology (also known as regtech). That's because blockchain can provide a high degree of data security.

The median annual wage for business and financial occupations is $46,310 higher than the median annual wage for all occupations. Drawbacks of a career in finance can include high stress, long working hours, continuing education requirements, and, in some cases, limited job stability.

The Most Oversaturated College Majors: Finance, Computer Science, Marketing. Discover the most oversaturated and competitive college majors like finance, computer science, and marketing. Find out why these majors attract a high number of graduates but struggle to find jobs in their field.

Is finance harder than accounting? Accounting relies on precise arithmetic principles, making it more complex, whereas finance requires a grasp of economics and accounting without as much mathematical detail.

At number one we have finance. Given that this is one of the majors with the highest upside. while also being incredibly easy academic wise and extremely popular, you betcha this one is oversaturated and super competitive.

Total revenue in the Finance market is projected to reach US$1.40bn in 2022. Total revenue is expected to show an annual growth rate (CAGR 2022-2027) of 10.96%, resulting in a projected market volume of US$2.50bn by 2027.

While the financial industry is traditionally associated with high wage earners, making it into the top three paying industries of 2024, there are 10 specific finance careers or jobs that hold significant salary potential and are showing promising signs of growth and industry demand.

However, 76% of U.S. CFOs say they are facing a significant talent shortage within their finance and accounting teams. This is further compounded by an aging workforce; according to the BLS, 28% of accountants and auditors are over the age of 55, with a median age of 44.9.