If Accounting or Financing intrigues, you then stop here and read further! If you are looking for a profession appropriate for these fields of interest, then CFA might be a well-suited choice. Who is a CFA? The Chartered Financial Analyst (CFA) designation is a globally recognised professional credential offered by the CFA institute. A degree in finance can open doors to various career opportunities in the financial sector, making the CFA designation an excellent way to advance your career in this field
What does CFA hold for you as a profession?
CFAs are qualified to engage in a wide spectrum of job profiles. The CFA charter certifies the competence and integrity of financial analysts. This course is highly respected in the investment industry as CFAs possess expert-level knowledge and experience in the field of financial and investment analysis. Besides the above-mentioned roles, a CFA plays, CFAs also perform Financial Reporting and Valuation. Here are some notable job profiles of a CFA: –
Investment Research and Analysis – CFA analyzes financial data, market trends, and economic indicators to make informed investment decisions. They assess risk and return profiles and evaluate stocks, bonds, derivatives, etc.
Portfolio Management – CFAs manage investment portfolios on behalf of clients, institutions, or funds. Portfolio management involves asset allocation, rebalancing, and performance monitoring.
Financial Planning and Wealth Management – CFAs provide personalized advice on investment strategies and risk management. They assist in creating financial plans.
Consulting and Advisory Services – CFAs provide advisory services related to mergers and acquisitions, capital budgeting, and financial strategy.
Eligibility and Enrolment Process
The primary eligibility for pursuing a CFA is that the prospective candidate should own a bachelor’s degree or equivalent, and candidates must have completed a bachelor’s degree from a recognised university. Alternatively, if you are in your final year of study, you are also eligible to apply. Or 4 years of experience. Additionally, Language Proficiency in English is essential as the CFA is conducted in English. You need to follow the below steps to get yourself enrolled for the CFA Course.
- Create an account by filling in your data on the CFA website. By creating this account, you will be able to access the required study material,
- The next step is fee payment, The CFA course price comprises a one-time enrolment fee of USD 350 and Registration fees of USD 1,250 that is to be paid separately as and when you register for each level. Rescheduling the exam date also costs USD 250.
- You should get yourself registered at least 4 months before the test date.
- Having a valid international passport is necessary for enrolment in the CFA program.
Additional Requirements for CFA Qualification:
To obtain the CFA Charter, candidates must complete the following requirements:
- You must clear all three levels of CFA exams; we have further explained the examination structure of CFA and the related course content.
- You are required to accumulate at least 4,000 hours of relevant work experience (to be completed within a minimum of 36 months after clearing the CFA exams.)
- You must adhere to the CFA Institute’s Code of Ethics and Standards of Professional Conduct.
Examination Structure and Course Content
CFA course consists of three levels, each with its focus and curriculum that needs to be passed in sequential order only, the respective levels are generally conducted twice or thrice in a year:
Level I – The Level I exam comprises 180 multiple-choice questions which are split into two sessions of 90 questions each. This level tests foundational knowledge and comprehension. Topics covered include quantitative methods, economics, financial statement analysis, ethics, etc.
Level II – This level focuses on application and analysis. The exam question paper consists of vignette-supported multiple-choice questions. It is like Level I with more complex content. The topics include fixed income, derivatives, equity valuation, and portfolio management.
Level III – Level III consists of a vignette-supported essay and Multiple-Choice Questions. For the essay questions candidates are required to write detailed answers to questions. The Level III curriculum covers ethics, portfolio management, wealth planning, and other topics.
CFA Demand and Salary
CFA charter holders are in demand across various sectors in India-
- Companies hire CFA for various job profiles such as Investment banker, portfolio manager, Risk Manager, Finance Manager, and so much more. The average CFA salary with 1-4 years of experience varies from 5 to 8 LPA. As you gain experience, your salary tends to increase between 15 LPA to 25 LPA.
- If you are considering a diploma in IFRS, then the combination of CFA and IFRS would offer you lucrative packages. This will increase your market demand as you will be an expert in accounting and finance both. IFRS course fees generally range from INR 10,000 to INR 50,000. The average initial salary of IFRS professionals ranges from 4 lakhs per annum to 8 lakhs per annum.
- Some top-notch employers hiring CFA include JP Morgan, Morgan Stanley Wealth Management, Royal Bank of Canada, BofA Securities, UBS Group, HSBC Holdings, Wells Fargo and Company, PricewaterhouseCoopers, BlackRock, and TD Bank Financial Group
CFA as a professional qualification offers immense benefits in terms of career growth, salary, and a reputed lifestyle. This is one of the most valuable courses and joins in line with CA, CPA, or ACCA. It can bring great opportunities to someone looking for a reliable career along with an everlasting demand even in the future times.
