The CFA Program and Designation The CFA Designation

The CFA® Program and Designation

The CFA Designation: The Basics • Established in 1962 • CFA Program is a graduate level • Administered by the CFA Institute • It tells clients, employers, and colleagues that the charterholder has mastered a rigorous curriculum covering a broad range of investment topics and is committed to the highest ethical standards in the profession • Number of current CFA charterholders worldwide (more than 145 countries ): 69, 112 as of June 2006

CFA Candidate Growth Source: CFA Institute (2006)

Candidate Geographic Profile (2006)

Charterholder Occupation (2006)

Charterholder Employers

Top Employers of CFA charterholders Bank of America Corporation Credit Suisse Group Citigroup Fidelity Investments ABN Amro CIBC Deutsche Bank ING Groep N. V. Allianz AG Citigroup The Goldman Sachs Group Lehman Brothers Barclays Group HSBC JPMorgan Chase & Co Merrill Lynch & Co. , Inc. Marsh & Mc. Lennan Companies, Inc. Mellon Financial Corporation Scotiabank Group TD Bank Financial Group Wachovia Corporation Morgan Stanley UBS Pricewaterhouse. Coopers BMO Financial Group Royal Bank of Canada

How Can it help a Career in financial markets “Becoming a CFA is now a passport for excellence and international mobility. ” Financial Times “The Chartered Financial Analyst (CFA) qualification is roughly equivalent to a specialized postgraduate finance degree… Whereas there are tens of thousands of finance degrees available around the world, ranging from excellent to the worthless, there is only one CFA. ” The Economist “The CFA Program was essential to my preparation for a career in the financial markets. ” Abby Joseph Cohen, CFA Managing Director, Goldman Sachs & Co.

Charterholder Requirements • Must have Bachelors Degree by December of exam year • Completion of all 3 Levels of Exam, sequentially • Relevant work experience as an investment professional • Must apply for membership in CFAI and an CFAI Member society/ Chapter • Must meet professional conduct requirements • Sponsorship will ultimately be required

Exam Structure

Approximate Breakdown of Topics The Level IIIstudyprogramemphasizestools assetand inputs andand includes an applications introduction of to the asset valuation includes tools and portfolio valuation inputs in asset andmanagement. portfolio valuation management

Approximate Breakdown of Topics The Level IIIstudyprogramemphasizestools assetand valuation includes tools and inputs andand includes an applications introduction of to the asset inputs valuation inputs in in asset and portfolio valuation management

Approximate Breakdown of Topics The Level IIII IIstudyprogramemphasizestools asset portfolio and management and includes strategies applying the inputs valuation andand includes an applications introduction of tofor the asset tools and tools, assetmanagement valuation models in managing valuation inputs, in asset and portfolio valuation equity, fixed income, derivatives, and alternative investments.

Not a Walk in the Park • CFA Institute recommends 10 -15 hrs/week over 18 weeks, and a minimum of 250 hours for each exam • ~ 1500 Learning Outcome Statements (LOS), specific subtopics that compose the core of the program and the basis for all exam questions • To succeed, you need to master the curriculum, not seek shortcuts and gimmicks