It’s not looking good for jobs in finance in New Hampshire. The biggest story of late is the November announcement of more layoffs at Fidelity Investments in Merrimack, one of the state’s largest employers. We’re talking about 1,700 jobs to be eliminated. This follows a Fidelity announcement in June of 5,700 workers. Looked at nationally, it’s becoming clear that we have been, well, over invested in the financial industry. The size of the industry has grown dramatically to the point where 30% of the S&P 500’s profits in 2007 were earned by financials. This at a time when our math brains could be finding energy and biotech solutions they have instead been devising complex financial products designed mostly to hide debt, so that the American consumer animal can keep being fed. A contraction in the financial industry seems apparent.
If you’ve got a head for numbers and like money of course work in financials has looked attractive. A lot of people have gotten rich this way. Many who were good math students in school have looked around over the past three decades and have said to themselves that they can analyze financials and get rich too. And many have. But, let’s face it, since mid-September the financial smarty pants don’t look so smart right now. In fact, they look anywhere from careless to dumb. If you make your living by investing and managing other people’s money you are currently facing an image problem.
So, what’s a well intentioned number cruncher to do? Don’t despair too much yet. It depends on what you want from a career in finance. Which is more important, providing service or getting rich? For the near future you may have to prioritize. Projections by the U.S. Labor Department and the NH Labor and Economic Bureau are still good for jobs in financial analyses, insurance, and to some extent for financial managers. How these projections play out with the current employment downturn in financials is difficult to predict right now. But looked at from the viewpoint of public need, especially those planning for retirement, is that smart, ethical, and competent financial analysts and managers are more necessary now than ever. People need help figuring out how to best protect and grow their money during these uncertain times. And the public wants straight talk. Now, you may not make the big bucks of the past, but if a financial or insurance expert can market themselves as providing prudent sound money management service for riding out the storm and beyond, then you just might survive in this industry here in New Hampshire. There is opportunity amongst the carnage. See where it is for you.