Chartered Financial Analyst® Overview
The Chartered Financial Analyst® (CFA®) designation is an international professional certification offered by the CFA® Institute
(formerly AIMR®) to financial analysts who complete a series of three examinations. To become a CFA® Charterholder candidates
must pass each of three six-hour exams, possess a bachelor's degree (or equivalent, as assessed by CFA® institute) andhave 48 months
of qualified, professional work experience. CFA® charterholders are also obligated to adhere to a strict Code of Ethics and Standards
governing their professional conduct.
The Chartered Financial Analyst (CFA) designation is a professional certification offered by the CFA Institute to individuals who want to demonstrate their knowledge and skills in the field of investment management and financial analysis. To become a CFA charterholder, candidates must pass a series of three rigorous exams, meet certain work experience requirements, and commit to adhering to the CFA Institute's Code of Ethics and Standards of Professional Conduct.History
The Chartered Financial Analyst (CFA®) exam has a long history dating back to the late 1940s. The origins of the CFA® program can be traced back to the Investment Analysts Society of Chicago (IAS®), which was formed in 1947. The society was created to promote professional standards and ethical conduct among investment analysts. In the early days, the society's membership was composed primarily of investment analysts who worked for banks and trust companies.
In 1963, the IAS® merged with the Financial Analysts Federation (FAF®) to form the Institute of Chartered Financial Analysts (ICFA®). The ICFA® was established to promote the professional development of investment analysts and to set standards for the investment profession. The ICFA developed the CFA program to provide investment professionals with the knowledge and skills necessary to meet the growing demand for investment analysis and management.
The first CFA® exam was administered in 1963, and it consisted of a single exam covering a broad range of topics related to investment analysis and management. Over time, the CFA® program has evolved to become more specialized, and the curriculum has been divided into three levels, each covering a different set of topics. The CFA® Exam has become widely recognized as the gold standard for investment professionals and is highly respected in the investment industry.
In 2013, the ICFA® changed its name to the CFA® Institute, to reflect the global recognition of the CFA® program and the CFA® designation. Today, the CFA® program is considered the most respected and recognized investment professional credential in the world, with over 150,000 charterholders in more than 160 countries.
The CFA® program curriculum covers a wide range of topics including:
- Ethical and Professional Standards
- Quantitative Methods
- Financial Reporting and Analysis
- Corporate Finance
- Portfolio Management and Wealth Planning
To be eligible for the CFA® Program, candidates must:
- You need to have a B.Sc (or equivalent) degree
- or be in the final year of your bachelor's degree program at the time of registration
- or have four years of professional work experience (does not have to be investment related)
- or have a combination of professional work and college experience that totals at least four years. Part-time positions do not qualify, and the four-year total must be accrued prior to enrollment.
- Have a valid international travel passport (required for exam registration and admission to the test center).
The CFA® program curriculum covers a wide range of topics related to investment management and financial analysis. The curriculum is divided into three levels, and each level covers a different set of topics:
Level I: -Ethical and Professional Standards -Quantitative Methods -Economics -Financial Reporting and Analysis -Corporate Finance -Portfolio Management and Wealth Planning
Level II: -Ethical and Professional Standards -Quantitative Methods -Economics -Financial Reporting and Analysis -Corporate Finance -Portfolio Management and Wealth Planning
Level III: -Ethical and Professional Standards -Portfolio Management -Economics -Financial Reporting and Analysis -Corporate Finance
The CFA® Institute curriculum is designed to be comprehensive and covers a wide range of topics that are essential for investment professionals. The curriculum is based on the CFA® Institute's Body of Knowledge (BOK), which is reviewed and updated regularly to ensure that it remains relevant and up-to-date.
Each level of the CFA® Exam will test the candidate's knowledge and comprehension of the material covered in the curriculum, as well as their ability to apply the concepts learned in real-world scenarios.