How does cfa help

The investment of time is crucial. The CFA Institute estimates the average candidate should expect to spend at least hours preparing for each level. In fact, the average candidate spends an average of hours preparing for each exam hours for level I; hours for level II; hours for level III.

Before entering the chartered financial analyst CFA program, be sure you've considered the costs, the time commitment, and whether it's likely to help you to get to where you want to go in your career. Once you've considered the time required to pass the levels, you must next look at the professional requirements needed. Before a candidate can become a CFA, they must have accrued 48 months of acceptable work experience.

Fortunately, the CFA Institute's definition of acceptable experience is fairly broad, encompassing such areas as trading, economics, and corporate finance. However, there are a number of candidates who enter the program and are not in fields where anything they do can be construed to be within the realm of acceptable experience. Some of these candidates may find that while they are able to pass the educational requirements, they will not receive the designation because they do not have the required professional experience.

Finally, before candidates can receive their charters, they must join the CFA Institute. If you need help, the CFA Institute's website explains the process in detail. To help you decide whether to pursue the charter, let's take a look at how it might be beneficial to you and your career. First, there is an educational benefit; you will learn a great deal and add a great credential to your CV.

Then, there is a boost to your reputation. People in the business know the time and dedication it takes to earn the charter.

When they see you have earned it, they will likely believe you have the ability, dedication, ethical grounding, and analytical skills necessary to do the job in question. There also may be financial benefits. You may see your salary increase after you've become a CFA or you may surpass other applicants who don't have this designation when competing for a new job.

The operative word here is "may. There are a number of financial fields in which having the charter is a substantial plus. The obvious one is investment management. As the investment industry continues to become more competitive and more commoditized, it will become almost imperative for any credible investment manager to earn the charter. Outside of investment management, there are a number of other professions in which charter holders will benefit considerably:.

Beyond this list, there are a number of professions in which having the CFA Charter helps, but where it is not a career roadblock if the financial professional does not have it. The CFA charter is not a guaranteed path to riches and glory. Before taking the plunge, carefully consider several drawbacks to earning one. Becoming a CFA is a huge investment in time—a minimum of hours per year over three years. You will sacrifice time with family and friends and the pursuit of hobbies you enjoy.

And after committing all that time, there is no guarantee that you will earn the charter. While this factor may not be a major consideration, it is worth pondering. A level I candidate will pay a one-time program enrollment fee plus an exam registration fee. There is also the cost of the books and study programs you'll have to buy. Altogether, you should expect to spend several thousand dollars each time you attempt the exams.

The CFA is not a panacea for an ailing career. If you're enrolling in the program to jump-start a stalling career, you may want to look at other reasons your career is not moving forward first. Financial firms are seeing the value of having CFA charterholders in other areas outside their trading desks. The CFA program is designed to cover everything. And I mean everything that is directly or indirectly related in the finance and investment field. When sitting for the CFA Level 1 exam, candidates must get themselves fully immersed in a huge range of topics.

The high-level topics include financial accounting, ethics, statistics, corporate finance, fixed income and alternative investments. Above all, the Level 1 curriculum is designed to be broad enough to cover all relevant areas needed for the finance industry. Once you reach the CFA Level 2 exam, the curriculum gets into more detail and is more specialized in finance topics.

In contrast, Level 3 becomes very specialized in the areas of portfolio and wealth management. Level 3 also introduces essay questions that require you to combine many topic areas and apply them to real-world scenarios. Once you pass all 3 levels, the knowledge gives you the confidence to work towards expertise in your desired field.

There are now K CFA charterholders around the world in countries, and the number is growing faster every year. Not only can CFAs be found in all major cities around the world, but CFA societies are now present in more than 70 countries.

The number of CFAs is impressive, and it also gives you an unparalleled network that you can leverage for your career. There are job postings from CFA societies with companies specifically looking for charterholders.

Although, the success of landing this type of job is much higher if you are actively networking within the society. Also, unlike the accounting qualifications that are more geo-specific e. Because the CFA charter is globally recognized, some countries have waived part or all of the requirements as licensed professionals, mostly in the field of investment and trading.

This sounds pretty impressive, right? Seven percent of CFA charterholders even go on to be chief-level executives. Like we said, CFA Institute has a global network of over , investment professionals. The CFA charter is recognized by regulators, universities, and certification programs in at least 30 countries and territories. A CFA charter is considered niche in the larger business world compared to the MBA, which addresses a broad array of topics with less depth. Getting your CFA charter allows you to gain analytical skills and expertise in quantitative methods, economics, financial reporting, investments analysis, and portfolio management.

This set of skills and knowledge you will develop as you become a CFA charterholder will serve you well throughout your career.