Is Python/R/Data Science becoming more prevalent in finance?
Hello everyone, I’m a Data Scientist “teacher”. I interact with students on a daily basis and interestingly, our conversations often revolve around “career development” rather than technical discussions.
Lately, I’ve noticed a growing interest from finance and Accounting students (who are not necessarily quants) in learning R, Python, ML, and more. This is a positive trend as mastering these skills can greatly benefit individuals.
However, many of these students seem to be feeling overwhelmed. They express concerns that if they don’t acquire these skills, they will become “outdated” in the coming years. Is there any factual evidence to support this belief? Are there reports indicating an increasing demand for technical skills in the finance and Accounting sectors? While there seems to be a general perception that this is the case, is there concrete data to back it up?
(Note: The classification of being a “Data Scientist teacher” is a bit more nuanced than a simple label.)
One response
There is indeed factual proof that Python, R, and Data Science skills are becoming more prevalent in the field of finance. Several reports and studies have highlighted this trend in recent years:
Burning Glass Technologies Report: According to a report by Burning Glass Technologies, the demand for Data Science, Python, and R skills in the finance sector has been increasing rapidly. The report found that job postings requiring these skills have seen significant growth, indicating a shift towards more technical roles in finance.
CFA Institute’s Future of Finance report: The CFA Institute’s Future of Finance report highlighted the increasing importance of data analysis and technology skills in finance. The report emphasizes the need for finance professionals to have a strong understanding of programming languages like Python and R to stay competitive in the industry.
LinkedIn Workforce Report: LinkedIn’s Workforce Report also supports the notion that technical skills are becoming more crucial in the finance sector. The report found that skills related to data analysis, Machine Learning, and programming languages are among the top in-demand skills for finance professionals.
Industry Trends: Beyond reports, there are clear industry trends that further support the rising importance of technical skills in finance. Many financial institutions are investing heavily in data analytics and automation, driving the need for professionals with expertise in Python, R, and other data science tools.
Overall, while there may not be a definitive study that conclusively proves the increasing prevalence of Python, R, and Data Science in finance, the combination of various reports, industry trends, and anecdotal evidence points towards a clear shift towards more technical roles in the field. Therefore, it is understandable that students in finance and Accounting are showing interest in developing these skills to stay relevant in the evolving landscape of the industry.