University Tackles the Financial Sector’s Issue – The Shortage of Legal Professionals

“The EU Digital Finance Strategy and the guidelines for the development of the FinTech sector in Lithuania recognise that the increasingly complex regulatory environment and compliance with these legal requirements pose some of the biggest challenges for financial institutions. Addressing these challenges requires experienced specialists from various fields who possess new skills. However, the shortage of qualified and suitable talent, as well as specialised studies, is acknowledged as one of the main issues in the financial sector,” says Dr. Paulius Astromskis, a lawyer and a researcher at Vytautas Magnus University (VMU).

A wealth of opportunities and future demand

The lawyer led the working group for the new Master’s programme in Financial Law, which will be launched at the Faculty of Law of Vytautas Magnus University in September. The programme has been uniquely tailored to combine legal and financial education, focusing on the key aspects of financial law. Upon completing the programme, students will be able to analyse and ensure financial institutions’ compliance with legislation, address the challenges of digital finance, and critically apply interdisciplinary knowledge. 

“The financial sector is the largest enabler of digital technologies and a key driver of the digital transformation of the economy and society. Through new technologies and innovative business models, market participants have expanded the range of financial services, and the promotion of financial technology development and export is recognised as one of the national priorities. However, these financial innovations and technological transformations have also unveiled new challenges,” says lawyer Astromskis, pointing out that a current major problem in the financial sector is the shortage of legal compliance specialists. 

He adds that lawyers skilled in this field are guaranteed a wealth of opportunities, and given that the financial sector is one of the fastest-growing and a major national priority, there will also be a demand for these specialists in the future. 

“The specialisation in Financial Law will enable lawyers in this field to work both in traditional legal professions and specialised legal areas. Judges, lawyers, notaries, corporate lawyers, and other professionals working in traditional legal roles with knowledge of finance will be better equipped to resolve disputes in economics and finance, prepare corporate acquisitions or mergers, and analyse other issues in this field. Meanwhile, these lawyers will also have career opportunities as specific legal compliance specialists in financial institutions and their supervisory bodies,” says Paulius Astromskis.

Competitive advantage through a shorter route

Rokas Lazdauskas, a graduate of VMU Faculty of Law, who works as a business analyst in Anti-Money Laundering (AML), confirms that knowledge of financial law has helped him launch his career. According to him, financial institutions are an excellent field for Financial Law graduates due to their strict legal regulations and the high demand for specialists who can ensure legal compliance.

“In Lithuania, there are quite a few operations centres of large financial institutions constantly looking for people to fill positions related to ensuring compliance with money laundering prevention. Working in such positions, it is crucial to understand the principles of financial law; moreover, special training and necessary certifications are provided – all these steps become significantly easier and create a certain competitive advantage both in securing a job and as one climbs the career ladder,” Lazdauskas explains.

Rokas Lazdauskas notes that having combined knowledge of finance and law significantly eases entry into the job market of institutions providing financial services: “Lithuania remains attractive to new financial startups; we have a large number of existing financial institutions offering a variety of services. Financial law regulation is constantly evolving, and the European Union strives to adapt as actively as possible to the latest technological trends, which obliges financial institutions to continue to devote significant attention to ensuring compliance with the legal framework.” 

One of the possible workplaces – the Ministry of Finance

Siuzana Ščerbina-Dalibagienė, an alumna of VMU and Head of the Audit, Property Valuation and Insolvency Management Division at the Ministry of Finance, notes that the financial sector is becoming increasingly complex due to technological advancements, heightened regulation, globalisation, and emerging new threats. Consequently, lawyers face numerous challenges that require new additional competencies, including financial knowledge.

“This transformation opens up greater career opportunities for lawyers with financial knowledge, as they play an increasingly important role in ensuring the smooth operation of this complex system. The Ministry of Finance, as an institution responsible for policy formation in areas of insolvency, taxation, and financial markets, is particularly in search of motivated and aspiring lawyers who have financial expertise and wish to contribute to national and international legislation in these areas,” the lawyer states.

According to Ščerbina-Dalibagienė, the combination of finance and law education opens doors to a broad spectrum of career opportunities, encompassing both traditional and newly emerging fields. Traditionally, such specialists are sought after in areas such as taxation, insolvency, insurance, securities, and financial institution regulation. 

“Meanwhile, new areas such as fintech, cryptocurrencies, and blockchain technologies, which are currently also highly relevant on the agenda of the Ministry of Finance’s policy formation, offer the opportunity to participate in a rapidly developing and innovative environment. Financial crimes also pose a serious threat to the financial system, hence lawyers with expertise in this area are in high demand. They can contribute to crime prevention and investigations, working in areas like money laundering prevention and compliance assurance,” outlines Ščerbina-Dalibagienė.

Career opportunities beyond Lithuania

Tadas Dapšys, Director at Bankera, a financial technology company and a social partner of Vytautas Magnus University (VMU), asserts that mastering financial law regulation opens opportunities not only in Lithuania but also across Europe and globally. According to him, SpectroCoin and Bankera offer services not only in Lithuania but also in the European Union and, in some cases, to the global financial technology and cryptocurrency markets. Moreover, the current possibilities of remote work allow for working from various countries worldwide, creating an attractive work-life balance.

“The prospects for these specialists are significant and not limited to working opportunities in Lithuania: from law firms, various financial institutions, and audit firms to startups and niche business companies. It’s important to note that FinTech companies, whose services are becoming increasingly relevant, have been among the most attractive and sought-after employers in the market for young specialists for many years,” Dapšys emphasises.

“We notice a shortage of financial law specialists not only in Lithuania but also across the Baltic states and beyond. The unique new VMU programme combines knowledge of law and finance, with a primary focus on the key aspects of financial law. Graduates of this Master’s programme in Financial Law will be able to analyse and ensure financial institutions’ compliance with legislation, address the challenges of digital finance, and critically apply interdisciplinary knowledge,” says Evaldas Rapolas, a lawyer, lecturer at the VMU Faculty of Law, and a partner at Magnusson, an international legal network.

According to the interviewees, the field of law is quite competitive, and to be successful in the market, it is crucial to be knowledgeable in various legal disciplines. “Today, most issues are complex, and only with a broad understanding and, ideally, knowledge, can they be effectively resolved,” says Tadas Dapšys.