The Chartered Financial Analyst (CFA) program is a graduate professional qualification offered internationally as an investment and finance professional by the United States-based Chartered Financial Analyst Institute (formerly the Association for Research in Investment Management (AIMR)).
This program of a chartered financial analyst teaches a variety of advanced investment analysis subjects including security analysis, statistics, probability theory, bonds, derivatives, economics, financial analysis, corporate finance, alternative investment portfolio management, and other universal knowledge of the financial sector. Candidates who successfully complete the course of chartered financial analyst and meet other professional requirements are “Chartered Financial Analyst (CFA) Charter Holders” awarded by the “Chartered Financial Analyst (CFA) Charter”.
You must be wondering, “If a chartered financial analyst program is provided in other foreign countries, how is this chartered financial analyst related to India?”
Well, you will get the answer to this and several other questions here.
Reasons to become a Chartered Financial Analyst-
1) Your CV will be prominent:
In addition to the benefits of education to become a successful chartered financial analyst that individuals get from the curriculum, qualifications and charters of a chartered financial analyst will be clearly prominent in your CV.
2) Career of a Chartered Financial Analyst Given the Right Weight:
The degree of chartered financial analyst is one of the few degrees that your career even considers while it gives you a charter. This is to ensure that your knowledge, of a chartered financial analyst is not only daunting, but also exposed to relevant roles in stock research, investment banking or related fields. If your resume has the designation of a chartered financial analyst, your employer will soon be convinced not only of your deep knowledge about a chartered financial analyst, but also of your experience in handling rewarding roles like a chartered financial analyst.
3) Cost efficiency than an MBA program:
Receiving the chartered financial analyst designation is of considerable value to all professionals seeking to enter the investment banking environment. The degree of a chartered financial analyst is more effective for individuals who do not have the time or resources to take a full-time MBA program at a higher university. Given that it is difficult to equate the two courses, there are certain career paths that are definitely more advantageous than an MBA to obtain a chartered financial analyst qualification that includes areas such as investment banking, portfolio management, securities brokerage etc.
4) Exposure to various roles & jobs in finance:
The chartered financial analyst program covers investment banking and equity research, as well as many other profiles. Today, whether it’s fintech, forex, alternative investing, or any other offbeat profile, a chartered financial analyst is the preferred option for employers. With rigorous coursework, a chartered financial analyst is well prepared for all kinds of demanding profiles.
5) Instant Reliability and Industry Respect:
A chartered financial analyst is recognized as the most prestigious and valuable qualification in the financial and investment industry. People widely understand and know the fierce process a candidate must go through before becoming a chartered financial analyst. This facilitates easy, fun roles and positions when entering the industry where a chartered financial analyst holders gain instant recognition and respect.
6) Networking Opportunities:
Charter Holders and Chartered Financial Analyst Society have a global presence and provide access to more resources to enhance your career prospects about becoming a chartered financial analyst. Chartered Financial Analyst Society is a job posting, especially for a chartered financial analyst. Participating in these societies of a chartered financial analyst not only increases your networking opportunities, but also increases your chances of landing in your dream position of a chartered financial analyst.
7) Better Job Prospects:
Jobs in areas such as asset management hedge funds, bonds, and equity research are better suited for a chartered financial analyst. The curriculum of the chartered financial analyst program focuses on financial modelling, portfolio management, and other areas related to finance and investment. Leading investment firms appreciate this knowledge base, giving preference to a chartered financial analyst over other candidates in the field.
8) Prepare for a global career in the financial industry:
A chartered financial analyst is one of the most preferred gateways to a global career in the designated financial industry. The global recognition of the designation of chartered financial analyst is very strong, so if you are going to make an impact abroad, a chartered financial analyst is your best bet. The curriculum of this course of a chartered financial analyst broadly covers the global market and provides a suitable preparation for the various international profiles of finance.
9) Paid packages are more attractive:
The chartered financial analyst designation means working for a company that values it, meaning the paid packages of a chartered financial analyst are more attractive. However, if you are asking for a higher wage level, practical experience is invaluable and is an additional asset to your qualifications.
10) Curriculum is set to include subjects like Big Data and Artificial Intelligence:
In today’s world, no job would be complete without the inclusion of Big Data or Analytics. Recognizing the importance of these new-age tools, Chartered Financial Analyst Labs will include Big Data Robot Advisory, Questions on Artificial Intelligence. A chartered financial analyst can then be prepared for the chaos and automation of all kinds of technology in the future. This also helps candidates keep up with the latest trends and land jobs with better rewards.
Responsibilities of a Chartered Financial Analyst-
Here are some of the responsibilities of a successful Chartered Financial Analyst:
A chartered financial analyst makes appropriate decisions about corporations, stocks and industries for the purpose of making money for businesses or individuals.
A chartered financial analyst tracks stock performance and collects data in spreadsheets for interpretation by stock brokers with clients.
A chartered financial analyst tracks the financial position of a specific company or industry.
A chartered financial analyst evaluates current and historical data to help you make decisions.
A chartered financial analyst recommends individual and collective investment options.
A chartered financial analyst studies the company’s financial statements to determine values, studies economic and business trends, prepares reports etc.
A chartered financial analyst meets the people involved in a company to get a better understanding of the company’s outlook and management.
A chartered financial analyst meet investors, explains some recommendations.
Skills to become a Chartered Financial Analyst-
1) Excel Modelling Technology:
Chartered Financial Analyst holder is often engaged in many Excel sheets and models. Therefore, it is very important to master your Excel Modelling Skills as a chartered financial analyst. Otherwise, you can always join and learn any short course about chartered financial analyst.
2) Analytical Technology:
Analytical technology is the ability to visualize, clarify, conceptualize, or correct complex, uncomplicated problems by lowering rational decision making, given the available information. Analytical techniques need to be developed when completing the Chartered Financial Analyst Program.
3) Computer Skills:
There’s a good chance you, as a chartered financial analyst, need to learn new software to build a portfolio to analyse your financial data and identify and forecast trends.
4) Communication Skills:
As a chartered financial analyst, you communicate with clients, investors, stockbrokers, and many others. You need excellent communication skills because you have to make some important decisions that need to be communicated to the person concerned.
5) Decision Making Techniques:
If you have carefully read the Chartered Financial Analyst Program Responsibilities above, you will know that decision making is an important part of your Chartered Financial Analyst Program job profile, so you can make wise decisions and grow your organization.
6) Math Skills:
Chartered Financial Analyst designation uses mathematical techniques in estimating the value of financial securities. However, when education of a chartered financial analyst begins, these technologies will develop naturally.
So now, if you have most (if not all) of the above technologies and you think you are ready to take responsibility as a chartered financial analyst, take up a chartered financial analyst program, which offers an opportunity separate from various other certifications.
The chartered financial analyst is a very common course of finance and is not specifically designated for any particular asset class. A Chartered Financial Analyst Course covers all asset classes in depth in terms of core foundations and uses. It is not limited to equities, bonds, real estate and derivatives, so it offers a variety of opportunities.
The Chartered Financial Analyst Course offers career paths in almost every asset class, with different opportunities for a chartered financial analyst across all areas of the industry. Most chartered financial analyst candidates want a career as a buying equity analyst and portfolio management, but options like quantitative data analysts, traders, consultants, alternative investments, real estate, fixed income, investment banks, private equity etc are also profitable for a chartered financial analyst.
Therefore, obviously the range after a chartered financial analyst course is huge and you can choose and specialize in your own interests. The scope of a chartered financial analyst is further expanded by learning other techniques required in industries not covered in a chartered financial analyst course such as Financial Modelling, Pitch Books, and Valuations among others.
Top Jobs for a Chartered Financial Analyst-
Here are some of the top jobs for a chartered financial analyst:
1) Business Consultant:
As a business consultant, the role of a chartered financial analyst is to handle business problems and propose possible solutions. It helps you, as a chartered financial analyst, analyse your company’s financial statements and reach your future goals. As a business consultant, basically develop a high-level roadmap for their business efforts and future goals. They maintain a balance between customer demands and technical constraints.
2) Research Analyst:
As a research analyst, the job of a chartered financial analyst is to analyse the data given and provide meaningful interpretations to employers. They usually present results in both oral and written formats. As a chartered financial analyst by education, you might also report findings to the organization on a regular basis to familiarize themselves with writing and retrieving presentations.
3) Private Bankers:
As a private banker, the role of a chartered financial analyst maintains relationships with individual bankers, bank customers and monitor customer needs. They provide their clients with credit, lending and other solutions. As a chartered financial analyst by education, private bankers also help in real estate planning when they buy a home with the goal of increasing their customers’ wealth through investment etc.
4) Risk Manager:
As a risk manager, a chartered financial analyst basically analyses market risk, develop their specialized plans and implement plans to reduce the level of risk they are facing. They generally coordinate with risk management activities to prevent debt. They make sure that office employees comply with safety rules.
5) Portfolio Managers:
As a portfolio manager, a chartered financial analyst is responsible for investing money. They also handle the investment of the client’s investment trust. A portfolio manager, chartered financial analyst by education, manages their fixed income and equity portfolios to maximize their return on investment at acceptable levels of risk. For a chartered financial analyst, this position might also require experience in financial asset management and investment.
6) Corporate Financial Analyst:
As a corporate financial analyst, a chartered financial analyst creates financial strategies for his/her customers based on their goals and desires. They are good at computer software like Microsoft such as Microsoft Access and Excel. Their main responsibility is to analyse and understand programs such as rebates, loyalty marketing and promotions. They manage customer relationships and create a strong customer base.
7) Financial Advisors:
As a financial advisor, a chartered financial analyst interviews clients and based on the information gathered from them, formulates a financial strategy. They support clients in both short-term and long-term goals. They sell financial plans to their clients to achieve their financial goals.
In addition to all of these, a chartered financial analyst is responsible for analysing the financial portfolio and making recommendations based on it. A chartered financial analyst also sets financial goals and identifies important steps to achieve them.
Top Colleges to study for an aspiring Chartered Financial Analyst-
Following are some of the top universities/institutes to study for an aspiring chartered financial analyst:
International College of Financial Planning:
Narayana Business School, Ahmedabad- https://www.nbs.edu.in/
Central India Institute of Management Studies- http://www.ciimsindia.com/Shri Chimanbhai Patel Institute of Professional Training, Ahmedabad- https://cpi.edu.in/institutes/
And many, many more!!!
In short, a Chartered Financial Analyst is the most respected and valued credential in the financial services industry. This was all about ‘Scope of a Chartered Financial Analyst in India’. We hope you found it to be useful & learnt something today.
Scope of a Chartered Financial Analyst in India is growing with more & more aspirants of the field of Finance coming up. If you are someone who is interested in Finance etc, then you must give this profession of a Chartered Financial Analyst a shot because it is your best bet to be successful in becoming a Chartered Financial Analyst.