Understanding an MBA in Finance
Core Courses and Curriculum Structure
In-depth preparation in various areas of Finance is part of MBA program concentrations, elective courses, specializations or even, individualized MBA curricula.
Denmark’s Copenhagen Business School (CBS) MBA offers four concentrations – one of them in Finance. “You can take your MBA in the direction you want to when you choose to study one of four key areas in depth”, CBS advises. Course examples are Private Equity and Venture Capital, Strategic Risk Management, Valuation and M&A, and International Financial Management.
China Europe International Business School (CEIBS) prioritizes Finance across different programs – Full-time MBA, Global Executive MBA, and Part-time Finance MBA (FMBA). The CEIBS program, entirely focused on finance, FMBA, “combines financial depth and management breadth to educate future leaders with a broad international perspective, excellent strategic decision-making and leadership, and integration of finance and management.”
The Finance MBA core courses include Corporate Finance, ESG Finance, Financial Accounting, Investments, and Managerial Accounting. Among electives are Financial Statement Analysis, Mergers and Acquisitions, Internal Control and Risk Management, Quantitative Investment, Derivatives, Analytics of Finance, Wealth Management in China, Basic Principle of Machine Learning and Investment Case Analysis, Fintech and Digital Transformation, Analysis of Trending Economic and Financial Issues.
CEIBS Campus
The MBA at the Wharton School of the University of Pennsylvania (US) provides opportunities for a specialization in MBA majors. “You can select from 21 MBA concentrations to pursue your goals. Courses may count toward more than one major, giving you the option to pursue your MBA with a double major. You may customize your learning further by taking electives in other MBA specialities to round out the curriculum.”
The Wharton MBA Finance Major is one option for professionals aspiring to senior management careers in finance. The choice of courses includes: Corporate Finance, Macroeconomics & Global Economy, Corporate Finance, Investment Management, Valuation, Financial Derivatives, International Financial Markets/Crypto, Real Estate Investments, Fixed Income Securities, Urban Fiscal Policy, Global Val and Risk Analysis, International Banking, Data Science For Finance, Capital Markets, Behavioral Finance, Central Banks, Macro, Markets, Distressed Investing, ESG and Impact Investing, Energy Finance, FinTech, Shareholder Activism, Financial Engineering, among others.
Quantitative Finance is an Individualized MBA Major at Wharton, aiming “to prepare students for a wide range of careers in the financial industry, including quantitative asset management and trading, financial engineering, risk management and applied research.” Being an Individualized MBA Major, it is available to students with specific, well-defined, interdisciplinary interests, that do not conform to existing MBA disciplines.
These are just several examples that reveal the diversity of Finance MBA curricula and options for gaining in-depth expertise along with the broad general management skillset.
Skills and Competencies Acquired in Finance MBA
The ample course offerings build in-demand competencies aligned with the individual career growth plans. At CBS (Denmark), MBA students “understand how companies finance their operations and investments while simultaneously controlling risks and fulfilling the expectations of their stakeholders; look at how entrepreneurs finance start-ups and how organizations raise funds both inside and outside of organized markets; the ways to control strategic and financial risks; how to value their own or another company; and how they can seize upon the opportunities provided by international financial markets.”
MBA programs build financial expertise and hard skills, but it is soft skills that often give a competitive advantage. Franc Peng, CEIBS MBA Class 2021, highlights: “Working in the financial industry requires not only an understanding of the underlying business logic but also mastery of "soft skills" such as interpersonal communication. Especially in investment and financing roles, identifying good projects necessitates deep industry immersion over a long period.”
Career paths for Finance MBA graduates
Common roles in financial services and consulting
“Many people find the world of finance very confusing,” says Harvard Business School Professor Mihir Desai in the online course Leading with Finance. “Who are these money managers, what do they do, and how does all this stuff work?” And, how to get a job in Financial Services? The HBS blog article advises: ”If you want to start a career in the financial services industry, the first step is building your skills through education. If you’re an undergraduate student, consider majoring or minoring in finance, business, economics, or statistics. If graduate degrees work for your schedule and budget, consider a master of business administration (MBA) with a focus in finance or analytics.”
Listing the most popular careers in the financial sector, Investopedia, and GoSkills, among others, note the following roles that require or benefit from an MBA degree for steady career growth:
- Chief Finance Officer (CFO)
- Corporate Finance Director
- Finance Chief/Head
- Financial Administrator
- Finance Project Administrator
- Financial Manager
- Financial Analyst
- Investment Banker
- Mortgage Advisor
- Portfolio Manager
- Private Equity Associate
- Senior examiners
- Tax accountants
- Tax managers
- Venture Capital Associate/Principal
Corporate finance vs. Investment banking vs. Financial planning
Corporate finance focuses on managing a company's financial activities, including capital budgeting, funding, and optimizing the financial structure. Investment banking deals with raising capital for businesses, advising on mergers and acquisitions, and facilitating large financial transactions. Financial planning, on the other hand, centers on creating personalized strategies for individuals or families to achieve their financial goals, such as retirement savings, tax planning, or wealth management, emphasizing long-term personal financial health.
How does an MBA degree help career growth? “Earning my MBA was the critical element in my decision to become an investment banker. Learning about investment banking from classmates who had taken this path before business school gave me a sense of the career progression, as well as the challenges. The rigorous coursework gave me the confidence that I had the quantitative and qualitative foundation needed to succeed”, shared SBC consultant Puja, an MBA graduate from tthe Wharton School.
Salary and growth potential for Finance MBA graduates
Several factors influence the salaries of professionals with an MBA in Finance. The actual role, the location, type and size of the organization, and the performance-based rewards system are typical for most managerial-level roles in Finance.
Reported salary ranges vary per source depending on how data has been collected – through acting professionals in the position, through job ads, or users of various online platforms.
“Chief Financial Officer (CFO) salaries in 2024 vary significantly based on factors such as company size, industry, and location. The average CFO Salary in the US is USD 195,230 for a USD 10-29M turnover corporation, USD 227,515 for a USD 37-99M turnover corporation, USD 241,471 for a USD 80-149M turnover corporation, USD 258,118 for a USD 150-249M turnover corporation, USD 297,500 for a USD 250-499M turnover corporation, USD 361,500 for a USD 500-999M turnover corporation and USD 423,019 for a USD 1BN-5BN turnover corporation”, reports CFO Recruit, collecting data directly from CFOs.
“The estimated total pay for an Investment Banker is USD 403,740 per year, with an average salary of USD 177,444 per year. These numbers represent the median, which is the midpoint of the ranges from our proprietary Total Pay Estimate model and based on salaries collected from our users. The estimated additional pay is USD 226,296 per year. Additional pay could include cash bonus, commission, tips, and profit sharing,” reports Glassdoor.
Since Finance is a critical functional area, salary, growth and rewards prospects are positive. In addition, an MBA degree ensures a higher starting salary and easier career change if desired. The Financial Times Business School Rankings annually report weighted salaries for MBA graduates regardless of whether they specialized in a functional area. The 2024 weighted salary range is USD 250,650 – USD 89,800.
Why Choose an MBA in Finance?
There are several key advantages for professionals targeting leadership roles in finance after business school. MBA studies focused on finance equip professionals with advanced knowledge, strategic decision-making skills, and leadership capabilities. The degree opens doors to high-level roles like CFO, investment banker, or portfolio manager. With a focus on corporate finance, risk management, and market analysis, this degree enhances career prospects, fosters a strong professional network, and positions graduates as leaders in the competitive finance industry.
In finance, the MBA gives a strong competitive advantage for growth to senior leadership positions.
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