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SpanishThe talents of next-generation finance professionals
The well known “parable of the talents” in the Gospel (Matthew 25) equates “talent” with a monetary value, essentially quantifying how much a person’s talent is worth in financial terms. However, talent does not only mean money or material assets, but also people’s qualities, competencies and abilities – our potential as “human capital”, in other words, which can clearly be characterised as an intrinsic value, as finance professionals well know. In this case, this refers to human capital, determined by estimating the future value flows or contributions that the individual will generate over the course of their working life.
When young finance professionals join a financial entity or a company, they bring knowledge, energy, skills and personal values that are a source of economic and human value for those who hire them. One could say that they are like newly issued bonds with the highest credit ratings and, of course, maturity dates far into the future. As young talents mature and add more value as because of their professional experience, they become more valuable and of interest for other companies seeking to capture their value. Experience is not only based on the acquisition of knowledge through professional practice, but also includes essential elements such as negotiation skills, decision-making, the ability to motivate teams, having initiative, and being prudent and bold.
“Experience is not only based on the acquisition of knowledge through professional practice, but also includes essential elements such as negotiation skills, decision-making, the ability to motivate teams, having initiative, and being prudent and bold.”
One must also have the ability to adapt to ever-changing surroundings, as well as the vision and intuition to appreciate the links between the multiple economic, social, political, geo-economic and technological variables that are characteristic of our time.
The exponential technological revolution of recent years and the advent of the digital society are essential features of today’s financial sector. Financial innovation has largely been driven by technological progress and changes in user and agent behaviour. Integrating emerging technologies (AI, blockchain and cloud computing) is essential to improving efficiency, security and financial services personalisation. The same is true of digital banking services, not to mention the emergence of the Fintech ecosystem.
Young finance talents will be navigating a sea of technologies transforming financial services, increasingly personalising customer service and risk management and making real magic happen in process automation and fraud detection, including by leveraging Big Data techniques.
Similarly, how young finance professionals view and understand regulatory issues will be crucial because, given fast-paced technological innovation, they will need to balance new financial innovations with ensuring that consumer interests are protected, the financial system remains stable, and issues related to cybersecurity and data protection are addressed.
As future finance professionals are in their educational phase, they have many options to choose from due to the diverse range of options to study economics and business and the growing integration with other disciplines, allowing students to select paths that align with their personal interests, career aspirations or the competitive advantages they wish to develop.
In recent years, data science, greatly enhanced by programming, as well as the irruption of technological finance, artificial intelligence applications and the decentralised blockchain model, have begun to reshape the knowledge, competencies and skills that are required of next-generation finance professionals. Finance professionals are becoming increasingly skilled in getting the most out of new tools.
In this regard, the institution I represent offers degrees in Business Administration and Management, Economics, Marketing, and Business Intelligence, among others, many of which can be done jointly with law, engineering and advertising, in addition to a wide range of postgraduate studies that specialise in various areas of finance (financial markets, wealth management, corporate finance, MBA, etc.). International experience is highly valued (Erasmus or bilateral exchanges around the world, participation in international working groups, participation in COIL- and BIP-type programmes, and even international internships). They also train students in people skills, provide career guidance and allow them to take part in talent selection programmes aimed at high-level consulting, investment banking and international private banking. And, of course, all of this is grounded in values-based training, which will be essential for advancing their careers towards senior management and for building a strong reputation and personal brand.
“In recent years, data science, greatly enhanced by programming, as well as the irruption of technological finance, artificial intelligence applications and the decentralised blockchain model, have begun to reshape the knowledge, competencies and skills that are required of next-generation finance professionals.”
Accordingly, the current employment prospects for young finance professionals remain at the same excellent levels as in recent decades, given the very wide range of professional positions covered by their versatile training, which includes a wide range of specialisations. For these employment prospects to be achieved and maintained through, an appropriate combination of knowledge, competencies and skills are required, which coincide with the job description of the position being filled. This also means constantly keeping up to date with the latest knowledge and tools of the trade.
Finance professionals also stand out in the professional world because of their natural career development towards senior management positions. Transitions from CFO to CEO are very common and require leadership and execute skills, workload management, negotiation and commercial skills, etc. In other roles, the capacity for detailed analysis, rigorous management and the ability to multitask are essential.
Therefore, new financial talents should strive to develop their IT skills, familiarise themselves with data analysis, develop good presentation and communication skills. Though it may seem outdated, they must also develop their writing skills and language proficiency (English is a must). In addition, professional certifications such as those related to financial markets (CFA among others, which is also offered by the CEU) or those required by investment advisors are also mandatory.
A key quality for young professionals’ employment prospects and career development is their ability to adapt to an ever-changing environment, to new business models, to continuous innovation and to market disruptions in an increasingly volatile world. In this regard, the technological whirlwind we are experiencing and the impact that artificial intelligence will have in the coming years suggest the importance of training in new tools as a way to enhance each employee’s own abilities and use them for better career development. In a few years’ time, finance professionals who are able to use this new “professional arsenal” will be able to supplant those who rely solely on knowledge.
In the context of the rapid digital transformation, it will be important for finance professionals to be able to understand and assess the possibilities of business models that are surfacing as a result of new technologies, but they will also need to be up to date with new emerging sectors and new opportunities in the energy (renewables and new sources), finance (increasingly high-tech), food, construction and infrastructure, environment, defence, aerospace, and other sectors, as well as being able to factor in new ESG (Environmental, Social and Governance) factors.
In any case, it is important to point out that some professional roles require technical skills; while others demand soft skills or, more appropriately, “people skills”.
Teamwork, leadership and communication are relevant, but other more subjective skills such as resilience and the ability to adapt to the environment are also highly valued. Creativity and even imagination, as well as the ability to tackle problems by treating them as a challenge and offering solutions, are also factors that can boost finance professionals’ employment prospects and career development. Other qualities have to do with the degree of commitment to the position, quality as a person, humility and willingness to work and accept challenges. In other cases, image, manners, people skills or networking skills are essential for financial professionals.
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