CFA, CAIA, etc.

Hi all,

I was wondering whether anyone knew of any qualifications that are similar to the CFA or the CAIA, which would help someone in a career of finance, or banking, etc.?

Thanks!

Reply 1

Pipsico

Original post by londoncricket

Hi all,

I was wondering whether anyone knew of any qualifications that are similar to the CFA or the CAIA, which would help someone in a career of finance, or banking, etc.?

Thanks!

The ACT covers the industry side of corporate finance - mainly a requirement of those working in a Treasury function.

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Reply 2

londoncricket

Original post by Pipsico

The ACT covers the industry side of corporate finance - mainly a requirement of those working in a Treasury function.

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By ACT, do you mean the college testing exam?

Thanks!

Reply 3

Pipsico

Original post by londoncricket

By ACT, do you mean the college testing exam?

Thanks!

Nope, it's the AMCT qualification - for corporate treasurers. It's a professional qualification, equivalent to a masters.

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Reply 4

londoncricket

Original post by Pipsico

Nope, it's the AMCT qualification - for corporate treasurers. It's a professional qualification, equivalent to a masters.

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Ah okay thanks!

Reply 5

snakesnake

Original post by londoncricket

Hi all,

I was wondering whether anyone knew of any qualifications that are similar to the CFA or the CAIA, which would help someone in a career of finance, or banking, etc.?

Thanks!

Just go for the CFA, its the most widely recognized qualification in finance/banking.

Reply 6

londoncricket

Original post by snakesnake

Just go for the CFA, its the most widely recognized qualification in finance/banking.

That's what I was thinking.

Reply 7

AW1983

Depends what you want to do in banking. CFA will be relevant to most of the front office but there are more appropriate qualifications in the back or middle office. Also, it depends what product you want to be involved in (e.g. external audit, financial planning, asset management, fund administration etc). What area do you aspire to work in?

Reply 8

Tokyoround

Original post by snakesnake

Just go for the CFA, its the most widely recognized qualification in finance/banking.

Wrong, CFA is not that valued in banking. It's really for the asset management industry. Banking is all about top uni and top MBA.

Reply 9

snakesnake

Original post by Tokyoround

Wrong, CFA is not that valued in banking. It's really for the asset management industry. Banking is all about top uni and top MBA.

I guess then it depends on how you define "banking" because its a very broad industry where I admit that in some places its more valued than in others.

But either way, the CFA is not a bad thing to have on your CV if you want to be an analyst somewhere.

Reply 10

AW1983

When you begin working in financial services, you quickly realise the term 'banking' refers to only a part of a much wider organisation. Institutions will differ in their definitions too; my employer considers 'banking' to mean two areas:

1) Investment Banking. So think equities research, trading (buy and sell side and including proprietary), that kind of thing. The CFA would generally be a good qualification for this kind of thing, although some also hold CISI qualifications specific to their area - I'm talking Level 6 and above - (those who hold both will often say the CFA is broad and reasonably comprehensive, but CISI gets even further into the detail).

2) Traditional Banking. Transaction services, liquidity, cash management, loans, foreign exchange. Oddly they also put mergers and acquisitions in this bucket. An MBA, professional qualifications with the Chartered Institute of Bankers (or IFS) or being a lawyer can be useful in these areas.

Just as many people will work in other areas though. For example:

1) Support services that are pure cost centres (HR, Payroll, ICT, Facilities Management - specific qualifications are available for these types of function);

2) Investor services (fund administration, transfer agency, custody, administration around derivatives and securities lending, valuations) that can be the back office but often turns a profit by selling its services to other clients. The ACA, ICSA or CISI Diploma are all good qualifications for a career in this field;

3) Risk Management (e.g. business continuity planning, financial risk management, operational risk management, ICT risk). This is a very broad area and you tend to specialise in the product that you risk manage but you can also get qualifications with the Institute of Risk Management or the Business Continuity Institute;

4) Compliance, for which the ICA Diplomas, CISI or a law degree is good preparation. You may also wish to work in legal, for which you need to be a qualified lawyer. Arguably you may choose to do a CFA depending on what you are providing compliance for, but even in the front office this is often seen as overkill for a middle office function;

5) Trust & Fiduciary. Trustee services for which STEP is the best qualification.

6) Internal Audit. Either ACA, ACCA or the CIIA are good preparation for this area.

In short, there's a lot of options out there. You need to know what you want to do to get the right qualifications.

That said, I've never heard anyone say the CFA did them any harm!