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The Rising Importance of Global Finance

November 14, 2021

Due to the advancement of technology and the increase in globalization, financial markets around the world have become more connected. International trading and investments have increased and businesses find it easier to grow beyond their home countries and participate in global markets. And whether we recognize it or not, global finance affects all of us in some way.   

Global finance is defined as the international framework of economies, regulations, and financial institutions and how these things interact with each other. Global finance covers a range of topics such as financial regulations, exchange rates, investments, trading, and other important topics associated with international financial management. All of which are always in flux.   

Benefits and Risks of a Global Financial System

Crises like the 2008 global financial crash and the COVID-19 pandemic have highlighted some of the weaknesses and vulnerabilities inherent to a global financial system. For instance, financial access around the world is incredibly unbalanced. According to Global Financial Magazine and the World Bank, 1.7 billion adults do not have access to high-quality, affordable financial services and insurance, while 200 million small and medium-sized companies don't have access to formal financial services or adequate funding options. Financial exclusion threatens the quality of life and holds economies back. 

On the other hand, global financial systems facilitate the transfer of finances across borders enabling finance productive investments and promoting growth, job creation, and portfolio diversification.  While it took economies over a decade to recover from the 2008 crisis, we seemed to fare slightly better through the COVID-19 pandemic. We did see record levels of market volatility and growing concern around credit losses, but the global financial system also served as a source of strength - with monetary support for businesses and households in most economies. Financial institutions, governments, private companies, investors, and other finance professionals worked quickly and diligently to avoid a repeat of 2008. So far, the recovery from 2020 has been positive but the financial effects of the COVID-19 pandemic - much like the global financial crisis - are expected to be felt for some time. 

To manage these complexities and vulnerabilities and realize the opportunities of global finance - in a way that is equitable for all - the world needs global leaders who are knowledgeable and prepared. That's why financial study is so important. 

What Kinds of Jobs Can You Get With a Global Finance Degree  

The demand for jobs in finance is strong. According to the U.S. Bureau of Labor Statistics' projections, there will be a 5% growth rate for business and finance jobs over the next decade - which equates to approximately 476,200 new jobs. A degree in global finance offers a very promising career with high earning potential. Graduates with a master's degree in finance make an average of $71,000-$134,000 depending on the company and a person's title and experience. Some of the most common career titles for people with a finance degree include: 

  • Financial Analyst
  • Financial Associate
  • Financial Planner
  • Investment Analyst
  • Budget Analyst
  • Corporate Planner
  • Portfolio Manager
  • Wealth Manager
  • Financial Manager
  • Product Manager
  • Head of Product
  • Head of Planning and Analysis
  • Chief Financial Officer
  • Chief Executive Officer

Global Finance Professional Development 

Many of Thunderbird's bachelor and master degree programs focus on global financial education, but because global finance is in constant flux, finance leaders and professionals must continue learning throughout their career. Our Global Finance Executive Certificate program is designed for aspiring global financial professionals seeking to advance skills in managing financial strategies and activities of global organizations. The program explores private equity, capital markets, corporate investing, and valuations of global enterprises and services. All of the participants gain an ability to navigate the financial complexities of planning and decision-making in transnational enterprises. If you are a financial professional looking to advance your career, learn more and enroll here: https://thunderbird.asu.edu/executive-education/online/executive-certifi...

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