Certifications in Finance
a bright and successful career academic degree like Graduation or for that
matter MBA is not enough one requires to gain specialized skills in Finance.
This can be achieved by pursuing Short Term Certification Program in Finance.
In India now various short term financial certifications are available.
Certification courses that are available can be Local Certifications i.e.
Certifications which are offered by local Universities or Bodies and there are
certifications that are offered by Global Bodies.
Certifications in Finance score over their
Indian counterparts in several ways:
have international acceptance hence open job opportunities outside India also.
content is global and so the students pursuing these certifications is assured
that they are learning the latest and best international practices on pursuing
are offered by organizations who have Global Presence and hence have more
reputation among Multi National Organizations.
of the certifications have both the global content as well as some local Indian
content giving best of both worlds to the students.
the increased specialization and even super specialization of the finance profession
and evolution of financial markets comes the need for greater skills in your
chosen area. How useful a certification is to its holder and his or her
employer depends upon one's area of focus and the rigor and scope of the
Certifications in Finance can be grouped into two divisions on the basis of
their focus area.
Finance or Retail Finance
Finance or Institutional Finance
us look at some of the reputed certifications in both these domains
1. Personal Finance or Retail
Finance: As the name suggests these certifications
enable the students to deal with financial matters of the Individuals.
Proponents of Personal Finance Certification argue that there are more
individuals then corporates so getting jobs in personal finance is easier than
corporate finance as one the number of jobs are more and secondly the entry
requirements are not very strict.
you are an average student not belonging to the top percentile in IQ then go for
certification in personal finance not corporate finance. The skill that you
must be good at to succeed here apart from the technical skills is excellent
people interface skills.
Chartered Financial Analyst (CFA)
the preserve of institutional money management, the CFA charter is now also
sought after by financial analysts and equity research professionals. A CFA
charterholder must satisfy ethics requirements, have at least four years of
appropriate work experience and complete three difficult examinations in
securities analysis and portfolio management.
CFA Institute's Council of Examiners keeps the curriculum relevant to the
challenges of the marketplace and the evolving body of knowledge. Preparation
is primarily through self-study. Though many institutes in India offer coaching
program for CFA.
The curriculum is at the graduate level. Most
financial service employers list a CFA charter as required, or at least highly
desirable. The cost for the entire program based upon 2012 rates is
approximately $2,500. Please refer to the CFA
Institute for additional information about the
Financial Planner™ (CFP®)
looking to a more holistic approach to personal finance planning may pursue the
path to become a Certified
Financial Planner™. The program deals with
Financial Advisory, Financial Products like mutual funds and insurance, tax and
retirement planning etc. To become a
CFP® Professional, the candidate must be a college graduate, complete financial
planning coursework or the equivalent, satisfy a three-year work experience
requirement, meet professional conduct or ethics standards and pass 5
examinations conducted by Financial Planning Standards Board India.CFP®
certification is often the route for fee-based financial planners who take a
big picture view of their clients' finances.
Wealth Manager® (CWM®)
Designation is the highest global designation in Wealth
Management recognized globally in over
150 countries the designation incorporates skills that enable the participant
to advise Individuals, Families as well as Corporate Entities to grow, maintain
and transfer Wealth.
designation incorporates both International Wealth Management as well as Local
Wealth Management skills.
many professionals may call themselves “Wealth Managers,” CWM® professionals
have completed extensive training and experience requirements and are held to
rigorous ethical standards. They understand all the complexities of the
changing financial climate and will make recommendations in the client’s best
program has two levels a basic foundation level and an advanced level one exam
for each level.
more information on the program on can visit the CWM
Chartered Trust and Estate Planner
wealth transfer and succession planning becoming increasingly important for the
High Net-Worth Individuals (HNI) certification in Trust and Estate
Planning is increasingly sought after by
Financial and Wealth Advisors.
Chartered Trust and Estate Planner is most renowned and Globally Recognized
certification in Estate and Succession Planning.
certification comprehensively deals with all the aspects of Estate Planning
like Intergenerational Wealth Transfer, Wealth Preservation, Trust Planning,
International Succession Planning and International Estate and Gift Taxation.
Certifications incorporate both Global and Local content making it ideal for
Finance Professionals like Wealth Managers, Chartered Accountants, Lawyers etc.
more information on the program visit the CTEP®
Finance or Institutional Services
corporate finance or institutional services, the client is an institution such
as a company or endowment/ pension fund. Analysts in this sphere of
professional practice focus on big-picture issues of security selection,
investment policy, performance measurement and risk management. These areas
have been and continue to be the traditional preserve of the CFA Charter holder
globally and the Chartered Accountant in India. Yet, in the past 15 years, two
credentials of note have arisen to address subsets of the investment world.
Alternative Investment Analyst (CAIA)
and conferred by the CAIA Association since 2003, The Chartered Alternative
Investment Analyst program grounds the candidate in the fundamentals and
advanced study of managed futures, hedge funds, real estate, private equity and
credit esoterica (credit derivatives and structured products).
demonstrate their knowledge of products and their application over two levels,
the former covering the terrain of products and the latter more advanced topics
of study that build upon what the student learns at the first level. A
significant part of the exam is an ethics component that borrows the CFA
Institute's Code of Ethics and Standards of Professional Conduct. Each level is
administered in September and March. The cost of the entire program is under
$3,000 and takes about two years to complete. Work experience and continuing
education requirements apply. Please refer to CAIA's website
for further information.
Financial Risk Manager
Global Association of Risk Professionals (GARP) administers The Financial Risk
program and confers the Financial Risk Manager certification upon candidates
who complete two levels of multiple-choice examinations in the discipline of
investment risk management. Difficulty is at the graduate level. Level I
emphasizes the fundamentals of quantitative analysis, markets and products,
valuation and risk and foundations of risk management.
II builds upon this foundation, focusing on market, credit and operational
risks, risk management and investment management and current issues in financial
markets. Created in 1997, the credential has evolved from one to two levels in
the past several years in response to the financial crisis of 2008 widely
viewed as a risk management boondoggle.
holders work for financial institutions, regulators and consulting firms. The
cost of the entire program is approximately $2,000 and could be completed
within two years. There is a work experience and continuing education
requirement. Please refer to GARP's website
for further information.
know what certification is most suitable for a Individual, the professional
needs to understand what he or she does or is aspiring to do. Often, the right
certification helps to close the skill gap and can lead to career and salary
advancement. In today’s competitive environment,
more than one may be appropriate and a means to make oneself that much more
marketable in the ever increasingly complex and evolving profession of
Jain, CWM, CFP, MFP