Is CFA Worth It?

Is CFA Worth It?

The CFA has grown in popularity the past few years and is now becoming a necessity for any professional in the asset management business. The CFA combined with a masters degree or financial engineering degree from a top school can open endless amounts of doors in the interview process. The CFA also is a great way for students who had a low GPA or went to a non-prestigious school to immediately improve their resumes and instantly become competitive.

What Is the CFA

The CFA is a grueling three exam designation that covers almost everything that will be needed in the money management field. The high barrier of entry is why this exam is so coveted. With a three year time period (if you pass each time) and a pass rate of 30% the CFA is one of the toughest exams in the world. The amount of studying and memorization of the exam is grueling and demonstrates to potential employers the work ethic and intelligence candidates who pass posses.

Benefits of CFA

The employment options after passing even just the level one test make the CFA worth the time and money spent. CFA charter holders make on average more then $100,000 a year with the top asset managers earning more then 7 figures just in bonuses. The CFA gives you instant credit with clients and proves you are one of the few elite who have passed the test. Just having the CFA designation will help you raise capital if you are starting your own fund.

CFA vs MBA

Many post-college students look to continue their education and wonder whether to pursue a CFA designation or a masters degree. The best answer is both as having a CFA and a masters degree will put you ahead of almost candidates. If you have to choose on they you need to look at the pros and cons of each. The CFA is much cheaper then an MBA and can open doors to many employment opportunities but doesn’t bring the connections and prestige a top MBA program can bring. CFA is a great option if you are already working and don’t want to take time off to get a masters. Masters programs can cost a lot of money but the internship programs and alumni connections can get you more interviews then just taking the CFA test. Remember who you know is the most important part of securing the job you want.

Taking the CFA To Improve A Resume With A Poor GPA

One of the best ways to immediately improve a resume with a poor GPA or school is take the CFA exam. The CFA will show your work ethic and intelligence to potential employers as a 30% pass rate shows the work ethic involved. By just passing the first exam you should be able to secure an internship and move on from there. Just remember that as the CFA becomes more popular, companies will begin to look at the CFA as a requirement and not having a CFA could get your resume thrown out. So as you can see the money and time spent on the CFA can provide lasting benefits to your career.