Study Guide: Finance in Malaysia

Are you confused between accounting and finance? It's a common conundrum for many prospective students seeking their path in the world of business and economics. While both fields deal with money and numbers, they are distinct in their focus and applications. Today, we aim to clear the fog of confusion and shed light on the exhilarating realm of finance. If you're intrigued by the idea of making strategic decisions that shape the financial landscape, navigating the intricacies of global markets, and understanding the art of wealth management, studying finance is your compass.

Finance Overview

Finance is a broad field that encompasses the management of money, investments, and financial resources. It deals with the allocation, acquisition, and utilization of funds to achieve financial objectives and make informed decisions about money. Finance is an essential component of both personal and business life and plays a crucial role in the global economy.

Finance is like the backbone of our lives, and it's not as scary as it might seem. It's all about managing your money in a way that helps you reach your goals and live a comfortable life.

Types of Finance

Finance is a broad field that encompasses various types and sub-disciplines. Here are some of the major types of finance:

Corporate Finance
Personal Finance
Public Finance
International Finance
Investment Finance
Financial Markets
Behavioral Finance
Real Estate Finance
Risk Management
Financial Planning
Islamic Finance
Fintech (Financial Technology)

Accounting VS Finance

As mentioned, accounting and finance are related but distinct fields within the broader realm of business and economics. They serve different purposes and involve different functions.

Finance	Key Difference	Accounting
Focuses on future-oriented decision-making and aims to increase the value of the business by making strategic financial choices.	Purpose	Focuses on historical data and provides a detailed picture of a company's financial health.
Forward-looking, involving financial planning, forecasting, and analysis to make decisions that will impact the company's future financial health.	Time Horizon	Deals with historical data, helping stakeholders understand what has happened in the past.
Making investment decisions, managing risks, raising capital, and assessing the financial implications of various strategies.	Function	Collecting and analyzing financial data, preparing financial statements (like balance sheets and income statements), and ensuring compliance with accounting standards and regulations.
Financial Analysts, Investment Bankers, Financial Managers, Financial Planners, and Risk Analysts	Job Prospects	Bookkeepers, Accountants, Auditors, and Financial Analysts

Entry Requirements

These are the general entry requirements to pursue a finance degree. Entry requirements for some universities may be higher, so do make sure you check the details carefully.

SPM/O-Level

A pass with 5 credits including English and Mathematics (applicable to Government Matriculation, and Pre-U programmes)
A pass with 3 credits (applicable to diploma qualification)

A-Level: A pass with minimum DD or equivalent of min. 120 points
Australian Matriculation SAM/SACE International: Minimum ATAR 60
Canadian Pre-University programmes: Minimum average of 55% in 6 subjects
Foundation in Business or Accounting, or Matriculation programme: Pass with minimum CGPA of 2.50
International Baccalaureate (IB): Minimum 26 points and above in 6 subjects
UEC: Pass with minimum 5Bs, maximum 26 points including Mathematics
STPM: Pass with minimum C+ with CGPA 2.33 in any 2 subjects
Diploma in Accounting: Minimum CGPA 2.50

Pathway to Study Finance

This is the general pathway to study finance after completing your SPM or IGCSE.

Step 1: Complete STPM/UEC/Pre-university programme for 1-2 years. You can also opt to be enrolled in Diploma in Finance for 2-2.5 years.

Step 2: Once you graduate with a finance diploma, you can choose to go straight to the workforce.

Step 3: If you want to pursue a finance degree, enrol in a 3-year finance degree programme.

Step 4: Once you've completed your degree, you can choose to go straight to the workforce.

Subjects

Studying finance in Malaysia can provide you with a well-rounded education in various aspects of finance, preparing you for a wide range of career opportunities in the field. The specific curriculum and courses you'll study can vary depending on the institution and the program you choose, but here are some common subjects and topics you can expect to encounter when studying finance.

In Malaysia, a finance degree takes at least 3 years long to complete and the total anticipated costs for a 3-year finance degree might range from RM90,000 to RM120,000.

In general, most finance degrees will require you to study core / compulsory subjects in your 1st year, covering topics such as:

Introduction to Finance
Microeconomics
Macroeconomics
Corporate Finance
Financial Markets
Islamic Banking and Finance
Quantitative Methods for Business
Ethics and Corporate Governance

Job Prospects

As one of the most in-demand jobs in Malaysia, finance is very much needed in every industry. This is why many parents encourage their kids to pursue a finance degree — it’s where the money’s at. If you’re embarking on a journey in finance, you might wonder what jobs are in store for you. Fret not, here’s a list of finance-related jobs that you can explore with a finance degree: