If you’ve embarked upon the arduous process of studying for the three CFA exams, you’re probably justifying the sacrifice on the basis that it will be good for your career. Don’t. In my experience, the CFA Charter is not worth it on this basis.
I am a CFA Charterholder. I have many years of investing experience and I have not been invited to a single interview in five months.
Gaining the Charter was not easy. I became a Charterholder seven yeas ago after passing every level the first time. I was working full-time whilst taking the qualifications and wasn’t sponsored by my employer. I studied long hours, both at the weekends and before and after work. I was lucky though – I know people who paid for expensive evening classes and had to take each level twice!
And now? On the basis of career prospects alone, I’d say the exams aren’t worth the effort. I’ve been out of work for 12 months and being a Charterholder seems to have made no difference to my prospects. Many people seem to see the CFA Charter as some kind of Holy Grail, but they’re mistaken.
This lack of recognition for the CFA Charter might have something to do with the fact that I’m based in London. There seems to be minimal recognition of its value in Europe. – In London people are more interested in whether you studied at Oxford, Cambridge or the London School of Economics than whether you’re a Charterholder. And if you want to future-proof your career in the City it makes more sense to take the ACA exams – believe me, there are always jobs for ACA qualified accountants in London. I suspect that the CFA Charter is more worthwhile if you’re working in America, or in wealth management in Asia.
This doesn’t mean that I regret becoming a Charterholder entirely. As with any marathon, you need to take joy in the journey itself. Studying the qualification has given me a pretty good veneer of financial knowledge and culture, and I get some pretty interesting newspapers and magazines from the CFA Institute in return for my membership fee.
If I had my time again though, I’m not sure I’d bother with the CFA. In my case, it’s been a bit of a waste of time and money. I’d have been better off learning a new language like German instead – it would have taken a lot less time and actually enhanced my job prospects in Europe.
James Bradfield is the pseudonym of a leveraged finance professional in London.
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