A regulatory analyst ensures that businesses and financial institutions adhere to laws that govern how such companies operate and handle transactions. If a regulatory analyst is employed by the government, she provides guidance related to compliance and enforces laws. An internal analyst works directly for a company and is charged with keeping the business operations of the company within the boundaries of the law. Typical tasks include substantiating financial records, scheduling audits and inspections of company records, and assembling financial reports for the regulatory body overseeing the company.
The duties of a government analyst are predominantly investigative. A regulatory analyst reviews major mergers and acquisitions by companies to ensure such transactions took place legally. If such transactions or a company’s general operations fail to satisfy established regulations, the analyst usually provides detailed information about how a company can come into compliance. The requirements also include reviewing an organization's financial documents such as balance sheets, income statements, and statements of cash flows to ensure that companies are financially solvent and prevent tax or investor fraud. Once such investigations or reviews are concluded, the regulatory analyst submits reports approving such transactions, verifying the financial stability of the business, or suggesting legal action.
Private companies also require the services of a regulatory analyst. An individual employed in this matter takes a proactive approach towards maintaining a company’s regulatory compliance. The analyst interprets existing or recently implemented laws and provides detailed summaries for company executives and department leaders to ensure that all aspects of business operations are adhered to. Prior to major financial transactions, the analyst reviews all contract terms to make sure that the deals comply with regulatory policies. If a government analyst does review operations, the company analyst is typically responsible for providing necessary documents and cooperating with the investigation on behalf of the organization.
Due to the nature of the job, an analyst usually must have a bachelor’s degree in finance, accounting, business administration, advanced mathematics, or a related field. Understanding financial markets and business principles can help the analyst understand a company’s operations and the nature of transactions in the industry the company is based in. The analyst must also be able to effectively communicate through written reports and verbal exchanges during the course of interviews or investigations about company finances. Finally, an analyst must have intimate knowledge about the laws, regulations, and codes affecting financial regulation.
