Published on: 15 September 2025 In a rapidly evolving world, technical skills quickly become outdated. Continuous learning and staying up-to-date are essential in finance but some skills never lose value: soft skills.
By 2025, most professionals will have advanced degrees, thanks to improved access to education. In such a highly qualified workforce, what sets candidates apart is increasingly their interpersonal and leadership abilities, not just their diplomas. While technical expertise provides a strong foundation and the ability to analyze complex situations, soft skills allow professionals to apply their knowledge effectively.
In the context of a talent war, it’s critical for HR and hiring managers to distinguish between technical skills that are indispensable and those that can be learned or complemented by strong soft skills.
1/ Key soft skills in finance
Curiosity and a willingness to learn
- Clients and managers value professionals who are eager to learn and can adapt quickly.
Example: A good lawyer must argue (hard skill) but also listen, convince and collaborate (soft skills). Similarly, a financial analyst who cannot simplify complex data for stakeholders will not be seen as top performing.
Communication, adaptability and teamwork
- Multinational finance teams work across time zones for some roles, requiring adaptability and excellent collaboration.
- Soft skills such as communication, teamwork and intercultural competence are transferable and long lasting, allowing professionals to thrive in global environments. This is particularly important in Luxembourg, where finance teams often include colleagues from a wide range of nationalities and cultural backgrounds. Being able to collaborate effectively across cultures, understand different working styles and adapt communication accordingly is essential for both day-to-day teamwork and client-facing interactions. Professionals who master these soft skills can navigate complex international environments with confidence, building trust and fostering stronger collaboration within diverse teams.
Stress management, resilience, creativity and critical thinking
- Decision-making under pressure, problem-solving and innovative thinking are crucial for instance in Transfer Agency cut-offs or complex portfolio management scenarios. In Transfer Agency, cut-off times represent strict deadlines by which all transactions (subscriptions, redemptions, switches) must be processed for a given day. Missing a cut-off can delay trade settlements, create reconciliation issues, and potentially expose the fund to financial or regulatory risk. The role requires rapid, accurate decisions, often under high volume and tight timelines, making the ability to stay calm, prioritize tasks, and resolve unexpected issues essential.
- In general, finance professionals face regulatory pressure, market volatility and tight deadlines. Strong soft skills help manage stress and maintain effective decision-making under pressure.
Natural authority and presentation
- Confidence, clarity and presence are essential when leading meetings or presenting analyses to clients and stakeholders.
Ethics, integrity and compliance
- Technical expertise alone is insufficient. History shows that a lack of integrity can lead to catastrophic outcomes, such as financial scandals like Enron or Madoff, where rules were ignored or manipulated.
- Ethical judgment, the courage to say “no” and a strong sense of responsibility are critical, particularly for roles in Compliance and in AML KYC, where professionals must ensure regulatory adherence, flag suspicious activities and protect both the firm and its clients.
2/ Soft skills as a factor in retention
Employees with strong interpersonal skills, adaptability and collaborative mindsets integrate more smoothly into teams. This leads to higher engagement, better morale, and improved retention.
- In finance, where talent is scarce, focusing on soft skills can be as important as technical training for long-term employee retention.
3/ Leadership and management
Modern leadership goes beyond technical knowledge:
- Effective leaders inspire trust, manage diverse teams and guide employees through change.
- Promotion to managerial roles cannot rely solely on seniority or technical skill: emotional intelligence is essential. Even with training, some individuals lack the soft skills required to manage teams effectively.
4/ Recruiting for potential
In a competitive talent market, hiring for potential can outperform hiring for credentials alone.
- Assess which technical skills are essential and which can be supplemented by soft skills.
- Real life example: a junior portfolio analyst with a non-finance degree but exceptional communication, adaptability, and problem-solving skills quickly outperformed peers with more traditional academic backgrounds.
- This aligns with the philosophy of “hire for attitude, train for skills.”
5/ Soft skills and career advancement
In top banks and audit firms:
- Promotions to manager or partner depend more on leadership, client management and business development than technical expertise.
- Soft skills such as communication, persuasion and relationship management become decisive at higher career levels.
6/ Soft skills in the age of AI and of a constant digital transformation
As automation and AI handle repetitive, technical tasks:
- Human skills such as empathy, creativity, collaboration and transparency become even more valuable.
- Clients expect clear explanations, trustworthiness and professional judgment, which cannot be automated.
CFOs, risk managers and auditors are often responsible for driving digital initiatives.
- Success requires not only technical competence, but also leadership, adaptability, and the ability to bring teams along. Soft skills are critical to ensure smooth adoption of new processes and technologies.
Conclusion:
Finance careers are evolving from purely technical roles to human-centered, strategic positions. Soft skills, communication, adaptability, critical thinking, ethics, stress management, and leadership are no longer optional. They are the differentiating factor in hiring, retention, promotion and client trust.
Investing in soft skills is no longer a “nice-to-have”: it is a competitive advantage that can determine career success in 2025 and beyond.
Hiring managers should therefore consider broadening their recruitment criteria, placing greater emphasis on soft skills and potential, rather than relying solely on academic credentials or past technical experience.