Fact Checked

How do I Become a Fixed Income Analyst?

Carol Francois
Carol Francois

There are four steps required to become a fixed income analyst: post-secondary training, related work experience, communication skills, and completing the job interview process. A fixed income analyst is responsible for evaluating the value of debt securities and other financial instruments with a fixed payout rate. He or she analyzes the interest rate, credit risk, and other factors to forecast the most profitable plan for the company.

A fixed income analyst must have a combination of excellent research skills, legal training, relevant work experience, and excellent communication skills. The role of fixed income analyst is most appealing for people who have a deep interest in the law and the overall impact on society. This type of analyst has limited interaction with people, and often works independently within a law firm or think tank.

A job interview is one of the last steps in becoming a fixed income analyst.
A job interview is one of the last steps in becoming a fixed income analyst.

The first requirement to become a fixed income analyst is to complete a post-secondary education program. All fixed income analysts have formal training in business, commerce, finance, statistics, or mathematics. This training is usually completed through a bachelor's degree from an accredited university. Additional courses in advanced statistics, business analytics, or the use of data analysis software are all helpful when looking to become a fixed income analyst.

Related work experience includes business analysis, data management, statistical analysis, and other types of analysis. Other positions that provide relevant experience include working as an investment analyst, pension analyst, or banking investment officer. Communication skills are critical when you become a fixed income analyst. The quality level of written communication is much higher in this field, and the expectation is that detailed information will be communicated on a regular basis. As such, many people work with editors, writing coaches, and other professionals to enhance their writing skills.

When applying for a job as a fixed income analyst, be sure to proofread your resume and cover letter, double-checking for any grammar or spelling mistakes. Almost all investment and financial firms will require a criminal records check as part of the application process. Keep this in mind when applying to become a fixed income analyst.

During the job interview process, most employers have a standard list of questions and are looking for complete, concise responses. Keep in mind that everything you say will be written down and reviewed. Avoid exaggerating your achievements and make sure to answer the question that is asked. The job requires meticulous attention to detail. Reflect this level of focus in your responses.

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Discussion Comments


@allenJo - I agree. I think fixed income jobs are very similar in their function to those of the stock market analysts.

There is always risk inherent in any investments. Bonds are fairly safe, but there is always the risk of default, even if it’s minimal.

So I would think you’d need to monitor the credit markets, monitor your portfolio and try to optimize it for the best rate of return, as well as run computer simulations and stuff like that.

That last point is very important, because so much research and analysis of securities is done by software. I think if you bring some programming skills to the table, you’ll have an edge in getting a job as a fixed income analyst.


@Charred - I believe that the fixed income analyst has to make recommendations about what securities to buy or sell. The fact that a fixed income security is less volatile than a stock market security doesn’t make it a slam dunk proposition from what I understand.

You still have to research the security and see if it offers the best rate of return compared to other similar securities. You probably have to do some overall macroeconomic analysis too to see where the economy is going.

That’s why I agree that if you have a background in finance, stock market investing and the law you are uniquely qualified to become this kind of an analyst.

A lot of variables can influence your decision about what securities to buy or sell, and it helps to know what’s going on with in all of these different disciplines.


@David09 - I’m clear on the requirements as a whole, economics notwithstanding, but what does a fixed income analyst actually do?

If you’re dealing with fixed income securities, I don’t see much variability or risk involved. The payments are made out at consistent intervals in fixed amounts.

It’s not like being a stock market research analyst where you have to follow the ups and downs of the market as a whole. I would think that as a fixed income analyst you are simply managing securities like annuities and things like that.


I am surprised that the article doesn’t mention economics as part of the course work needed for becoming a fixed income business analyst.

It mentions finance, and I suppose economics and finance are related, but in economics you deal with financial transactions on a macro scale, affecting the entire nation.

So fixed income securities that are issued by the government would fall into this category I would think. These include things like government bonds and even mortgages that are issued by organizations like Fannie Mae and so forth.

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    • A job interview is one of the last steps in becoming a fixed income analyst.
      By: Rido
      A job interview is one of the last steps in becoming a fixed income analyst.