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The high-level differences are: FP&A: Create revenue and expense targets for different departments, assess how close each department is to reaching its goals, create 5-year plans and forecasts, and tell the Chief Financial Officer (CFO) how the company’s Profit & Loss (P&L) Statement is trending.
Tax accounting refers to the methods and policies used for the preparation of tax returns and other statements needed for tax compliance and therefore, it provides frameworks and guidelines for arriving at a taxable profit. read more , and taxable profit arises due to a timing issue. read more , which can happen in the coming years.
It’s 100% possible to do asset management internships (or hedge fund internships ), take the CFA , and recruit for one of these large funds – assuming it’s open to undergrads. So, while a traditional IB background at a top bank helps, you don’t necessarily need it if you start early or get relevant experience elsewhere.
They might have separate teams for specific strategies or markets, but everything is run under a single Profit & Loss statement (P&L). If you have the right background – IB/PE at top firms or possibly equity research or CFA / asset management experience – the interviews and case studies are fairly standard.
While we don’t know what additional regulatory measures may be put in place, when combined with the existing tighter monetary policy (which has put downward pressure on bank profit margins and resulted in deposits leaving in search of higher cash yields), a credit contraction is likely.
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