The CFA has made sweeping changes to its investment analyst educational program in the biggest shake-up of the globally recognised qualification since inception 60 years ago.
Among six core upgrades to the CFA (chartered financial analyst) process, candidates will need to learn “digital practical skills” starting in 2024 while final-stage students can select one of three specialised pathways from the 2025 year instead of the current single portfolio management option.
Once implemented, CFA Level III candidates will be able to choose between two new private wealth or private markets specialities or follow the traditional portfolio management route.
“A common core of study will exist for all three pathways at Level III, and candidates will be able to choose one of three job-role focused pathways,” the release says. “…All three pathways will be equally rigorous and in pursuit of one credential: the CFA charter.”
The amended CFA program will also cut the amount of study materials at each level to keep each exam preparation time within 300 hours, bolster recognition of Level I and II achievements, supply extra practice resources and open up the course to undergraduates two years away from completing degrees (previously the cut-off was one year).
Chris Wiese, CFA managing director education, said in a statement that the institute, which safeguards the quality of the influential investment designation, had “spent years” sounding out the market on proposed reforms.
“We spoke to candidates, students, employers, our members and societies, and others in the financial industry ecosystem. As the $10 trillion private markets continue to play a larger role in investment portfolios and as the $130 trillion wealth management segment requires more highly trained professionals, we landed on adding these two new pathways at Level III in addition to the traditional portfolio management route,” Wiese said. “We also know that the new Financial Modeling, Python, and Analyst Skills modules will be valuable to candidates and employers alike and dovetail with existing curriculum content.”
The CFA counts about 190,000 charter-holders across 160 countries including 500 or so in NZ.