Financial risk analysts identify and analyse the areas of potential risk threatening the assets, earning capacity or success of organisations in the industrial, commercial or public sector.

They are sometimes called:

risk managers;
risk technicians;
risk surveyors.
They are responsible for predicting change and future trends, as well as forecasting cost to the organisation.

There are high degrees of specialisation within the profession. Risk analysts may work in sales, origination, trading, marketing, financial services or private banking, specialising in:

credit;
market;
operational;
regulatory.
Financial institutions are required to manage market and credit risks daily. Risk analysts are therefore increasingly tasked with responsibilities touching all four key areas.

An alternative but similar role to financial risk analyst is that of the credit analyst, in which the creditworthiness of a business is calculated and a probability of payment determined. Risk analysis is considered by many to be advanced credit analysis.

Types of financial risk analyst
A financial risk analyst's role is to formalise the process of risk management within an organisation. This involves business decision-making and enabling the process of risk taking.

Credit risk specialists analyse the risk to the company of its customers not paying for goods or services or defaulting on loans.
Market risk specialists analyse the risk of outside factors that may affect the share price or the market. They typically work closely with traders to calculate the risk associated with specific trading transactions.
Operational risk analysts look at the likelihood of risky events, such as system breakdowns and employee fraud.
Regulatory risk analysts look at the impact that new legislation may have on the company.

Qualifications
Although this area of work is open to all graduates and diplomates, a degree or HND in the following subjects may increase your chances:

accountancy;
business studies;
economics;
engineering;
finance;
insurance;
legal studies;
management;
mathematics;
risk management;
statistics.

Skills
You will need to show:

strong numeracy, analytical and strategy skills;
good research skills;
planning and organisational skills and problem-solving ability;
IT competence and computer literacy;
negotiation skills;
written and oral communication skills;
the ability to explain complex issues and present technical information clearly;
commercial awareness;
the capacity to work independently and cope with pressure and responsibility;
a professional approach to work, integrity and respect for ethics;
the confidence to relate to a range of people and to challenge people when necessary.