What Is Investment Accounting? (With Duties And Salary)

By Indeed Editorial Team

Published 26 May 2022

The Indeed Editorial Team comprises a diverse and talented team of writers, researchers and subject matter experts equipped with Indeed's data and insights to deliver useful tips to help guide your career journey.

Investment accounting is the management and analysis of accounts actively involved in investments. Working in this profession allows you to make business investment decisions and choose stocks, bonds and debts that are stable and profitable. Thoroughly exploring the answer to, ‘What is investment accounting?' can help you learn more about the profession and help you determine whether it is the right career choice. In this article, we discuss what investment accounting is, explore what an investment accountant does, understand their average salary and skills and discover steps to become an investment accountant.

What is investment accounting?

When researching various accounting careers, you might wonder, ‘What is investment accounting?'. Investment accounting is a specialisation in the accounting field that analyses and manages investments accounts. While some manage their investments, people with large investment portfolios hire certified investment accountants. Investment accounting involves managing bonds, stocks and other investments for brokerage firms and portfolio managers. Professionals working in investment accounting field are investment accountants who monitor clients' investments, manage debt investments and keep track of any third-party investment activities.

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What does an investment accountant do?

Unlike cost, management and financial accountants, these professionals work outside of the tax realm. These professionals often work with asset management firms and investment brokerage firms. While these professionals have strong knowledge of the accounting field, they look for investment opportunities for the company. Here are some common job duties for an investment accountant:

  • Monitor client investments: These professionals monitor and maintain the investment of clients and businesses. They understand various rules about managing investments in a particular region.

  • Manage debt investment: Debt investment is another key responsibility of investment accountants. When companies or individual wants to invest in stable and predictable options, these professionals prefer debt investments over stocks.

  • Track third-party activities: A part of an investment accountant's job role involves tracking their clients' investments. Tracking these activities is essential because it affects a client's financial standing.

  • Prepare tax reports: Another critical job duty of an investment accountant is creating tax reports that give details about the company's investment accounts. So, it is essential to maintain accurate records.

  • Analyse investment activities: Employers expect these professionals to analyse the company's investment activities and make proper recommendations to management personnel.

  • Coordinate with others: Investment accountants coordinate and manage every aspect of the general ledger accounting. These professionals interact with other accountants and portfolio managers to manage ledger accounting.

  • Ensure compliance: Many organisations rely on these accountants to process taxes and reports that comply with relevant regulations.

Employers expect these professionals who are knowledgeable in bonds, stocks and precious metals like shares and gold, among other forms of investment. It is essential to keep track of the constantly changing investment field to perform their job duties.

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Average salary of an investment accountant

The national average salary of an investment accountant is ₹9,25,104 per year. Their exact salary depends upon the location, experience, employer and educational qualification. Usually, investment accountants with experience earn a higher salary. Many professionals prefer working as freelance accountants. They might work with multiple clients at a single time. Working in this role might allow you to advance to a leadership role, where you would see other accountants' work and manage the investments.

Work environment for investment accountants

The work environment of an investment accountant depends on their employer and employment type. While some work from home, others might work in offices. These professionals can work as freelancers or in large corporate and asset management organisations. Those in these positions may spend a lot of time sitting at a desk. They might occasionally travel to the client's site to gather more information about their investment. Most investment accountants work 40 hours a week, but some might work overtime during busy periods like the end of the financial year.

Elements of investing accounting

Here are some elements of investing accounting:

Financial consulting

Often, investment accountants offer financial consulting services to their clients. This helps their clients save money and take advantage of tax benefits offered by the government. The role of an investment accountant in financial consulting is to provide an unbiased and independent expert opinion on an investment plan. These professionals can build investors' wealth through financial planning and identifying well-suited investments.

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Financial accounting

Often, an investment accountant might fulfil the job duties of financial accounting. It primarily means to document and report an organisation's transactions. To fulfil these job duties, an investment accountant requires in-depth knowledge of various accounting principles.

Tax research

Another key area where an investment accountant might work is tax research. When working in the tax research field, these professionals prepare tax documents, find ways to lower tax liability, ensure that clients meet every tax obligation and comply with legal rules and regulations.

Fund accounting

Investment accountants working in fund accounting perform portfolios and investment funds duties. A part of their job role involves creating financial statements, developing budgets with supervisors and financial managers, managing funding activities and reconciling accounts. Often, employers prefer hiring candidates with excellent research and analytical fields.

Skills of an investment accountant

Here are some desirable skills for becoming an investment accountant:

Technical expertise

Often, investment accountants require a high level of proficiency in computers. These accountants require computer abilities because they use various financial applications that allow them to perform their work. It is critical that investment accountants require a strong base in investment analysis. Having in-depth knowledge of strategies for making a desirable investment is essential for this job role.

Strong numeracy skills

Numeracy is a strong skill that most accountants require to gather data, analyse and report that data. Many tasks in investment accounting require a decent knowledge of mathematics. Employers prefer candidates who can work with numbers, examine and interpret figures and understand the company's financial calculations. Strengthening your core mathematics skills helps you excel in your career.

Ability to handle work pressure

The work of an investment accountant is repetitive and they might make last-minute investments to ensure a higher profit for their client. As this job role requires working under pressure, these professionals create a prioritisation strategy for every task. Having the ability to break tasks into smaller units can help these professionals excel in their work.


It is common for an investment accountant to work with financial consultants, managers and other accountants to provide profitable investment opportunities and maintain the company's investment. These professionals work together to achieve an organisational goal. So, employers prefer candidates with excellent teamwork skills.

Analytical skills

Investment accounts are responsible for analysing investing activities, managing debt investment, preparing tax reports and paying attention to a business's financial and investment performance. The ability to analyse profitable stocks and debt investments requires excellent analytical skills. Employers often prefer candidates who can analyse information to find errors and choose a profitable and safe investment.

How to become an investment accountant

Here are a few steps to becoming an investment accountant:

1. Complete your education

After completing your 10+2 in commerce, consider enrolling in a bachelor's degree in accounting, finance and related areas. While every organisation has a different requirement, completing a bachelor's degree is the bare minimum requirement. To understand the educational path, look for open job positions in your area to know the exact educational requirement.

2. Get some experience

Gaining experience in the accounting field and working as an intern in an asset management organisation can help you gain some relevant experience. Start by working with smaller clients and making investment decisions. Once you deliver profits to your clients, it motivates you to excel and you can use that reference to get hired for another high-paying job.

3. Pursue higher education

After gaining some experience, pursue a master's degree in management, finance or related fields. A management degree can help you get hired for a senior-level position. A master's degree takes two years to complete and puts you in a position to attract a higher numeration package. To improve your career prospects, seek continuing education opportunities that enhance your education.

4. Create a resume

To get hired for a desirable job, update your resume with your latest experience and skills. Focus on customising your resume based on the job description. Include keywords from the job description to make your resume applicant tracking system compliant (ATS). It helps show employers that you are qualified for getting hired for a desirable job.

Salary figures reflect data listed on the quoted websites in writing. Salaries may vary depending on the hiring organisation and a candidate's experience, academic background and location.

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