Benefits of CFA® Charter for Corporate Finance Career

The CFA Institute offers chartered financial analyst (CFA) accreditation. If you want a career in corporate finance, earning a CFA charter is helpful because the curriculum covers portfolio management, financial analysis, derivatives, stocks, bonds, and ethics. Additionally, the course is offered internationally and recognized as the gold standard for all financial analysts. Let us explore corporate finance careers for which CFA accreditation will give you an edge.

Equity analyst

Equity analysts focus on stock markets and research how companies are performing in the securities market. Moreover, equity analysts in corporate finance assess companies within their portfolios. Other roles of equity analysts include preparing reports and making recommendations to manage which stocks to buy or sell.

Corporate financial analyst

As a corporate financial analyst, you will assess data to determine existing patterns and trends that help make forecasts. Consequently, corporate financial analysts offer essential information and advice when making investment decisions. The CFA institute reports that at least five percent of CFA charter holders hold a position as corporate financial analysts.

Research analyst

In finance, research analysts play the crucial role of applying mathematical processes and analyzing qualitative data to identify trends and patterns on which managers make corporate investments and financial planning decisions.

The specific role of research analysts in corporate finance is to gather intelligence by processing critical decision-making data. According to the CFA Institute, fifteen percent of CFA charter holders are research analysts working in corporate finance.

Portfolio manager

As a portfolio manager, you will be in charge of the company’s funds. Portfolio managers work with teams of researchers and financial analysts and keep up to date with market and business changes that impact their funds.

Additionally, portfolio managers utilize expert knowledge and experience to decide whether to sell or buy assets when markets fluctuate on behalf of their companies. According to data from the CFA Institute, at least 22% of CFA charter holders are portfolio managers.

Chief finance officer

The CFA Institute reports that an estimated seven percent of CFA charter holders are in chief-level executive positions. However, they do not state the specific executive position. Chief financial officers head corporate finance and are considered the peak of corporate finance careers.

Earning a CFA certification does not guarantee a senior management position, but it gives you an edge when seeking entry-level jobs and advancing your career.

Start your journey to earning a CFA charter

Requirements for earning a CFA charter are;

1. To enroll in the CFA professional course, you should hold a bachelor’s degree or an equivalent or be in the final year of your undergraduate studies. You are also eligible to register for the CFA program if you have at least 4,000 hours of relevant work experience or 4,000 hours of the combined university and professional experience.
2. Sit for and pass all three levels of the CFA exams.
3. You should agree to abide by the CFA Institute Code of ethics and become a member of the institute by paying the fee.
4. You should provide proof of 4,000 hours of full-time work experience in a position involving decision-making on investments or a product that contributes to the decision-making process. The work experience can be from before or after you did the CFA exam

The next step after enrollment and registration is to start studying for your exam. The following study tips will help you pass your exams.

Start a study routine as early as possible

Our successful CFA charter holders’ most common success tip is their dedication to a study routine. To pass your exams, you need to understand the material and have the skills to apply it. The exam will test how to apply what you learned to different scenarios.

It would help if you put in a lot of time and effort to attain such a high level of understanding and application skills, and starting a study routine as early as possible will go a long way in helping you achieve this. Therefore, start your studies six to nine months before the exam date to ensure you have enough study time.

Please take note of the core topics and their exam weights

During your study sessions, it is essential to understand the topics that carry more weight in the exams versus those that do not. All the levels in the CFA program focus on the same core topics. Therefore, you should note the core topics that weigh more in the exams you are studying.

You should be aware of the specific learning outcomes

Specific learning outcomes refer to what you should be able to do by the end of your CFA curriculum. It is the actual knowledge, skills, and abilities that the lecturer or instructor intends for you to learn or develop. Specific learning outcomes are more in-depth than the set learning goals.

Specific learning outcomes are measurable and tested, for example, asking you to explain, identify or analyze a concept.

Practice taking the exam

The last but equally important step in preparing for your CFA examinations is to practice taking the exam as much as possible. You should simulate realistic exam conditions while practicing. You will be given a mock exam by the CFA Institute and buy additional resources from Analystprep.com.

Contact us at Analystprep.com for our CFA study packages to help you prepare for your exams. You will have access to notes and video tutorials from the best professors and an up-to-date sample question bank to help you pass your exams on the first try.