The work of an Economist intersects in many ways with that of a Financial Analyst. Like Financial Analysts, Economists study commerce, economy and know how to analyze current events, geopolitics and the global socio-economical environment. However, while Financial Analysts are specialized in a field or a sector, Economists have a macroeconomic vision of financial environments, and their specialization is defined by a geographic zone or by a specific market, for example, financial markets or job markets. Economists therefore have a much more global vision and they try to use this to predict the evolution of statistics that will follow (growth, unemployment…) and their impact on financial markets.
Economists may work for a government or an international organization such as the IMF (the International Monetary Fund), or they may work for a bank or a hedge fund, if the organization works in large-scale markets. Economists, just as all Financial Analysts, must make their predictions based on their analysis of different economic indicators. These predictions are transmitted to Traders, Sales Traders, or company board members, according to the structure within the workplace.
Economists naturally have training based on the economy. They may study econometrics, macroeconomic modeling, economic engineering, etc. According to their specific positions, they may need additional skills. If an Economist works in a bank or a hedge fund, comprehensive training in market finance followed by a concrete training experience or internship is necessary to get recruited. The CIT’s Become a Trader course provides ample training to compliment an academic career in economy, and gives future Economists a network of banks and organizations where they can try their luck when beginning their job search.
The wages of an Economist working in a bank or a hedge fund are high as a result of their analytical precision and the importance of their judgment. They make an average of 35,000 Euros per year upon hiring and at least 60,000 after three years of experience. These wages depend on how renowned the Economist is. When considered as an absolute expert, an economist may be in high demand with all major banks.