The Chartered Financial Analyst (CFA) Program is a professional credential offered internationally by the U.S based CFA Institute (formerly the Association for Investment Management and Research, or AIMR). The CFA charter is a qualification for finance and investment professionals, particularly in the fields of investment management and financial analysis of stocks, bonds and their derivative assets.

The program focuses on portfolio management and financial analysis, and provides generalist knowledge of finance.

“Among the countless finance degrees around the world, the Chartered Financial Analyst qualification has become the gold standard.”

• Investment Banking Analysts / Bankers
• Financial advisers
• Corporate Financial Analysts
• Risk Managers
• Consultants
• Portfolio Manager
• Chief Executives
• Research Analysts

CFA Institute – USA

• The CFA Program is offered in a self-study format and is divided into three levels of exams. The Level I exam is held in June or December and other 2 levels of exams are held in June and offered at various test centers in India like: Ahmedabad, Bangalore, Chennai, Kolkata, Mumbai, New Delhi, Pune.

Level Advancement

LEVEL I

Knowledge and Comprehension

• Topic Focus: Investment Tools
• Tests your knowledge of ethical and professional standards

LEVEL II

Application and Analysis

• Topic Focus: Asset Valuation
• Tests how you apply standards to situations analysts face

LEVEL III

Synthesis and Evaluation

• Topic Focus: Portfolio Management
• Tests how you apply the standards in a portfolio management and compliance context

CFA Level 1 topics and their weightage

The Level I study program emphasizes tools, inputs and includes an introduction to asset valuation, financial reporting and analysis, and portfolio management techniques.

Ethical and Professional Standards-15%, Quantitative Methods-12%, Economics-10%, Financial Reporting and Anlaysis-20%, Corporate Finance-8%, Portfolio Management-5%, Equity-10%, Fixed Income-12%, Derivatives-5%, Alternative Investments- 3%.

CFA Level 1 Exam Format

• Level 1 Exam is 3 hours long and is divided into morning and afternoon sessions
• 240 total multiple choice questions, 120 in the morning session of the exam and 120 in the afternoon session. Each multiple choice question is free-standing (not dependent on other questions) and has three possible answers: A, B, and C. All questions are equally weighted and there is no penalty for guessing
• Level 1 can be taken in June and December

Achieve Qualified Work Experience

Complete work experience requirements before, during, or after participation in CFA Program. Your experience must be directly involved with the investment decision-making process or producing a work product that informs or adds value to that process.

Submit Reference Letters

In support of your membership application, you will need to provide 2-3 professional references. References will be asked to comment on your work experience and professional character.

Apply to Become a Charter holder

Apply to become a regular member of CFA Institute. Once your application is approved and you have joined CFA Institute, you will have earned the CFA charter.

• Discipline
• Time Management
• Integrity
• Diligence
• Focus
• Attention to Detail
• Curiosity

You can take the exam as long as you:

• Have a bachelor’s (or equivalent) degree, or be in the final year of your bachelor’s degree at the time of registration, or have four years of qualified, professional work experience or a combination of work/college experience that totals four years
• Meet the professional conduct admission criteria
• Can take the exams in English
• Have a valid international travel passport

• Make investment decisions based on business/ industry forecasts or economic conditions through analyzing financial information
• Monitor developments in the fields of industrial technology, business, finance, and economic theory
• Interpret data on price, yield, stability, future investment-risk trends, economic influences, and other factors affecting investment programmes
• Track fundamental economic, industrial, and corporate developments by analyzing information from multiple channels
• Recommend investments and investment timing to companies, investment firm staff, or the public
• Determine the prices at which securities should be syndicated and offered to the public
• Prepare plans of action for investment, using financial analyses
• Evaluate and compare the relative quality of various securities in a given industry