Top 10 Financial Modeling Skills

This video outlines the top 10 most important financial modeling skills required to be a world-class financial analyst. Financial modeling is the art of building a dynamic tool (an Excel model) that can be used to evaluate investment opportunities, mergers & acquisitions (M&A), capital raising, or to assess a company’s historical and forecasted financial performance.

[dhruvbansal]

Top 10 Financial Modeling Skills
1. Accounting Skills
2. Excel Skills
3. Linking the Three Financial Statements
4. Forecasting Skills
5. Problem Solving Skill
6. Attention to Details
7. Simplification of complex information
8. Design Skills
9. Presentation Skills
10. Details vs High Level Strategy

[skept]

You guys are amazing. Glad I found you.

[prath]

Accounting, Excel, problem solving desingn skills

1) accounting skills
(Need accounting skills to understand (financial statements, dissect Financial statement and build financial statements )

a)Matching principles
b) accruals
c) revenue recognition
d)non cash items (depreciation and amortization)

2) Excel skills
(Understand Keyboard shortcuts and formula function )

3) Liniking three financial statements
Income statement
Balance sheet
Cash flow statement

4) Forecasting skills
(Future performance of companies in Ms Excel)
Science (Regression analysis)
Arts (Management skills
Culture of business)

5) problem solving skills
(Thinking logically organised manner)
Analytics, soft skills, presentation

6) Attention to details
Number formula function keep track all of them.

7) simplify complex information

Simplicity is ultimate sofistication

8)Design skills
It's more of Arts than science.
Model should be
Easy on eyes
Clean formatting
Beautiful graphs
Look professional

9) presentation skills
Effective presentation to client.
10) Details vs high level strategy

Low level details
+
High level strategy

[bridgetmwendwa]

Thanks for this video, just completed my FMVA course with CFI and they have very knowledgeable instructors

[lakeforest]

your voice soothed my apprehensive state of brain stressed from searching for the best financial modeling education sites. gracias mucho

[joshuakumah]

Hi guys, thanks a lot for your lessons. As a young man from Africa having great passion and interest in finance, i would really appreciate you being my mentor

[shebame]

That was helpful. You guys produce very attractive and helpful videos, I can't wait to see your next videos.
Thanks 😊

[judyl.]

Top 10 Financial Modeling Skills
1. Accounting Skills
2. Excel Skills
3. Linking the Three Financial Statements
4. Forecasting Skills
5. Problem Solving Skill
6. Attention to Details
7. Simplification of complex information
8. Design Skills
9. Presentation Skills
10. Details vs High Level Strategy
-- -- -- -- --
0:15 dynamic tool (excel model) that can be used to evaluate investment opportunities, M&A, capital raising, assess a company's historical & forecast.
0:50 accounting skills: 1. matching principle, 2. accruals, 3. revenue recognition, 4. non-cash items such as depreciation & amortization
1:10 interpret and understand the financial statement.
1:30 know all main function and keyboard shortcuts
2:30 forecasting skills: science to use only regression analysis, but art to use qualitative factors.
2:45 problem solving skills: think logically and very organized manner.

[joditot]

What about the #6? Attention to detail is really difficult to apply in a full blown multiple sheet financial models. If anyone here have any tips, im all ears

[tradingrobotresearchanddev]

Very informative, now just to find some time to watch all your other videos :)

[douglasdod]

It was insightful, tnks for the great job!

[thiagogregory]

Are these skills developed in business school?

[smartqcontact]

Where do I start to learn these skills?

[deniskorolev]

Why Excel if there Piwer BI: much better graphs, a lot faster.

[edforthought]

Excel? There are far more powerful mathmatical tools available in 2019. If the principle is "advanced use of mathematical and modelling tools" then i am with you. If you are literally hyping excel as the industry standard for financial modelling and charting you are missing a very large space of helpful and powerful tools.