New Delhi: CFA Institute, the global association of investment management professionals, announced that of 31,631 candidates who sat for the Level III CFA® Program exam in June, 54% passed the third and final exam. Successful candidates will become CFA charterholders starting early October pending verification of professional experience and other membership requirements. They will join more than 145,000 charterholders around the globe who have earned the CFA designation.
The number of candidates who sat for the Level III exam this exam cycle grew by nearly 10% globally, year-over-year. This caps a 28% increase in Level III candidates over the last five years, reflecting a growing interest in the CFA designation as an international credential and building professionalism in investment management. Of 56,939 candidates who sat for the Level II exam in June, 47% were successful. Of 63,283 candidates who took the Level I exam, the pass rate was 43%.
14,776 exam takers (all three levels) were from India, the third largest number after Mainland China (33,934) and The United States (32,353). Mumbai with 6,060, registered the highest number of candidates, followed by New Delhi with 3,475 and Bengaluru with 1,702 candidates. Growth was notable in India as candidates tested increased by over 20% year-on-year. Regionally, Asia Pacific continues to be the largest source of candidates, with 71,914 exam takers.
Higher Standards Key to Winning Investor Trust
As investment management enters an era of new professionalism, CFA Institute is also strengthening its partnerships with firms worldwide who employ current and future CFA charterholders. By engaging with investment management firms, the organisation hopes to generate support to build professionalism, raise standards industry-wide, and win investor trust.
“The CFA® Program and designation is widely considered the gold standard for knowledge and ethics in the investment industry,” said Navneet Munot, CFA, executive director and chief investment officer, SBI Funds Management Private Limited. “We encourage and support our employees to pursue the CFA Program and attain the CFA charter, and is part of our commitment to best serve our clients.”
“CFA Institute marks its 70th anniversary this year. Congratulations to all the successful candidates who I hope will join us in our mission to lead the investment profession globally by promoting the highest standards of ethics, education, and professional excellence for the ultimate benefit of society,” said Vidhu Shekhar, CFA, country head, India, CFA Institute.
1,000 Hours of Study
The CFA® designation is one of the most respected and recognised investment management designations in the world. To earn the charter, candidates must pass all three levels of the exam, considered to be the most rigorous exam in the investment profession; meet the work experience requirements of four years in the investment industry; sign a commitment to abide by the CFA Institute Code of Ethics and Standards of Professional Conduct; and become a member of CFA Institute. Less than one in five candidates who begin the CFA® Program end up finishing, which is testament to the determination and mastery of professional competencies demonstrated by successful Level III candidates.
Candidates study approximately 1,000 hours on average to master 8,500 pages of curriculum. The CFA® Program curriculum includes ethical and professional standards; financial reporting and analysis; corporate finance; economics; quantitative methods; equity, fixed income, alternative investments; derivatives; portfolio management; and wealth planning. Its depth and breadth provides a strong foundation of advanced investment analysis and practical portfolio management skills, which gives investment professionals a career advantage.
Candidate Demand Spurs New Test Centres
To accommodate growing interest in the CFA® Program and candidate growth around the globe, CFA Institute expects to add test centres in seven new locations in the coming year. Starting with the December 2017 exam cycle, the organisation plans to add test centers in Anchorage, Alaska, United States; Halifax, Nova Scotia, Canada; Hangzhou, China; and Rio de Janeiro, Brazil; and in June 2018, CFA Institute plans to add new test centres in Barcelona, Spain; Dalian, China; and Hyderabad, India.