Diving In - Why choose finance in MBA
Pursuing an MBA in Finance opens doors to a plethora of opportunities, offering not only a deep understanding of financial concepts but also a wide array of career paths. In today's dynamic global job market, choosing finance in an MBA can provide you with a stable and rewarding career. In this article, we will answer all your questions about 'Why choose finance in an MBA?'
Why choose finance in MBA - Top 8 Reasons
Choosing to specialise in finance during your MBA studies is a wise decision for several reasons. Here's why you should consider studying it:
In-Demand and Secure Career Option
Finance enjoys high demand across diverse industries, ensuring job security. Its indispensability in various sectors makes it an evergreen field. Pursuing an MBA in finance offers a specialised qualification essential for businesses, establishing a pathway to stable and sought-after career opportunities.
Increased Earning Potential
Earning an MBA in finance can lead to higher income, making it a financially rewarding choice. According to Payscale.com, individuals with an MBA in finance earn significantly more than those with other MBA specialisations, as finance is recognised as a highly lucrative sector in the business world.
Wide Career Options
MBA graduates in finance can work in both banking and non-banking sectors. You can choose a role based on your interests, including positions such as financial analyst, hedge fund manager, investment banker, corporate banker, personal financial advisor, risk manager, derivatives analyst, financial controller, and treasury manager.
Fostering Holistic Growth
The MBA in finance program is crafted to provide students with both foundational and advanced knowledge in finance. Achieved through management simulations, internships, and comprehensive projects, this method promotes self-assessment, aiding students in identifying their areas of improvement. It guarantees holistic personality development for students.
Well-Rounded Skill Set
A 2-year MBA in Finance program imparts a comprehensive understanding of various subjects, including but not limited to stock exchange analysis, business finance, risk management, investment banking, and finance management. Throughout the program, students learn to cultivate critical and analytical thinking and enhance their knowledge in marketing, statistics, and leadership skills.
Networking Potential
An MBA in Finance facilitates networking through various channels. Students engage with industry professionals, alumni, and peers during seminars, workshops, and networking events, creating valuable connections. These connections prove instrumental in securing internships and job opportunities and gaining insights into industry trends, boosting career growth and professional development.
Entrepreneurial Empowerment
Choosing an MBA in finance provides essential knowledge and skills for aspiring entrepreneurs. Understanding financial management, risk assessment, and strategic planning equips individuals to start and successfully run their businesses, promoting entrepreneurship and self-sufficiency.
Personal Financial Management
An MBA in finance not only imparts skills for managing corporate finances but also emphasises excellent personal financial management. Graduates gain insights into effective budgeting, investment strategies, and wealth creation, empowering them to make sound financial decisions in their personal lives, ensuring a secure and prosperous future.
Eligibility for MBA Finance
The admission requirements for an MBA in Finance align with those for a general MBA degree. Prospective candidates must have a minimum of 50% aggregate marks in their undergraduate degree.
Most institutions require candidates to take national or state-level entrance exams. Common exams for MBA in Finance are:
- Common Admission Test (CAT): Widely accepted, CAT is a national-level exam
- Graduate Management Admission Test (GMAT): Widely used for international MBA programs
- Management Aptitude Test (MAT): Recognised by various institutions
- Xavier Aptitude Test (XAT): Conducted by XLRI Jamshedpur
NMAT (NMIMS Management Aptitude Test): Some institutions consider NMAT scores - Common Management Admission Test (CMAT): Accepted by certain institutions
Top Colleges for MBA in Finance
Top-tier institutions offer a comprehensive curriculum, cutting-edge resources, and renowned faculty, providing a superior learning experience. Some top colleges for an MBA in Finance in India include:
| Indian Institute of Management: Ahmedabad, Calcutta, and Bangalore |
| Jamnalal Bajaj Institute of Management Studies: Mumbai |
| Xavier's Labour Research Institute: Jamshedpur |
| SPJIMR: Mumbai |
| NMIMS: Mumbai |
| National Institute of Bank Management: Pune |
| Xavier Institute of Social Service: Ranchi |
Top International Business Schools for an MBA in Finance that you should consider applying to:
| Wharton School of the University of Pennsylvania | Georgetown McDonough School of Business |
| NYU Stern | Duke Fuqua School of Business |
| Columbia Business School | UCLA Anderson school of management |
| Stanford GSB | UC-Berkeley Haas |
| Harvard Business School | Michigan Ross School of Business |
| Cornell Johnson | Chicago Booth school of business |
| Yale School of Management | Kellogg School of Management |
| Darden School of Business | Tepper School of Business |
How do you answer 'Why did you choose Finance in MBA' in an interview?
Questions like "Why did you choose an MBA in finance?" or "Why did you choose finance in MBA?" are typically asked during admissions interviews for MBA programs or job interviews related to finance roles. Admissions committees or interviewers want to understand your motivations, goals, and alignment with the chosen field of study or career path. Here is the tip to answer such a question.
Tip: When responding to the question "Why do you choose MBA finance?" in an interview, focus on aligning your personal and professional goals with the unique aspects of finance that attract you. For example, you can talk about the analytical skills you aim to develop for informed decision-making. Highlight how the MBA in finance will equip you with skills, knowledge, and opportunities for career growth.
Ideal Answer to 'Why choose MBA finance'
"I picked finance for my MBA because it opens doors to different jobs like corporate finance or banking. I want to learn versatile skills to help me grow in various roles, and finance is the perfect fit. Plus, I also want to be skilled at solving real-world business challenges by applying financial insights."
How Much Does an MBA in Finance Earn?
If you are contemplating pursuing an MBA in Finance in India, it is essential to understand the salary landscape in this industry. In India, professionals with an MBA in Finance can expect competitive remuneration.
According to Glassdoor, the average salary for an MBA in Finance in India is ₹3,98,526 per year, with an average additional cash compensation of ₹48,526.
Conclusion
Contemplating the question, "Why choose an MBA in Finance?" leads to a recognition of its multifaceted advantages. This specialisation not only ensures a comprehensive understanding of financial concepts but also hones strategic decision-making skills. From investment strategies to risk management, it provides a holistic view, making graduates indispensable in diverse sectors. The blend of theoretical insights and practical application ensures a competitive edge, making an MBA in Finance a strategic choice for those aspiring to excel in their careers.
