Back ... with a discussion CFA After a full month out of the blogosphere, I am now back.
Today I wanted to tell you about the review of the CFA. Before I begin, I am bound by the rules the organization not to divulge the content of the exams so do not ask me (in comments or email) of sample questions. For cons, I can safely speak of the format.
So the title is for CFA Chartered Financial Analyst
. Many have asked me if it was useful and I would respond by comparison. The CFA designation is to finance what the CA is to accounting. It is not necessary to have the title to be successful in their field, but it is very well seen. Following my column will answer questions I am frequently asked about the CFA.
"I passed the CSC (Course on Trade securities) of Canada. The CFA is there the same level of difficulty? " Answer: NO
. The CSC is exceedingly easy and as ridiculous review. If you have struggled to achieve the CSC considers the CFA as above your abilities.
"How long does it take to get my CFA designation?" On average, five years. For CFA, you must first pass the 3 exams that are given only once a year (the first Saturday of June), except for the first which is also given on the first Saturday in December. And succeed three in the first test is not given to everyone. In addition, you must also have sufficient work experience (5 years) in the financial sector even if you passed the exams.
"What is the workload for each exam?" It depends on the level of knowledge you have when you begin your CFA. In normal times, it takes at least 200 hours of reading and study for a tour of the area. Each review includes 6 books of readings. The number of pages varies (depending on the year and examination) between 2500 and 3500 pages, but the first consideration has more content than the second which is more than the third.
"How was your experience CFA so far?" I did and passed the first exam in December 2009. I put about 100-125 hours of study, because the material is essentially the CFA I saw in a degree in finance. I did the review of CFA II in June 2010 and I put about 200 hours due to time (I wrote my thesis at the same time). Of the 3200 pages of material, half were new or more advanced than what I knew (despite my almost complete mastery). The study was longer than expected and I found myself with a week revision before the exam so that we recommend at least a month. On 26 July, I knew it was a mistake to have so little time to review: I did not pass the CFA II.
"What grade did you get to your two tests? What is the grade? " CFA does not give grades. The idea is that you succeed with 97%, 85% or 78%, you spent. The organization does not create a category of CFA (like "we hire him because he got 86% while the other had 80%"), they therefore indicates FAIL or PASS. For them, two CFA will also be qualified as the other, regardless of their examination score. By cons, for each "discipline" tested in the exam (ethics, economics, portfolio management, ...) indicate whether your rating is below 50%, between 50% and 70% or above 70%. These three categories can be seen as FAIL / DEPENDS / SUCCESS and allow you to see what categories should be reviewed.
In case of failure, the organization also tells you the depth of your fail (!). It brings these people in 10 categories and tell you if you're one of absolute failure and deep (category 1) or if you've spent close to succeed (Class 10). (My rating 9 leaves me confident that with more study, I will be able to succeed next year.) The way the CFA determines the level of success or failure is unclear. I know by cons as above 70% you're sure to succeed. Officially, officials meet to determine the level of success. But informal discussions are coming out full of assumptions to describe the passing grade. Someone told me that he took the note of 1% of the top and set the passing grade to 70% thereof. Others told me about a complex algorithm that gives importance to the ethical category (like "you spend ... you unethical not pass the exam "). And the list could be long. All I know is that the pass rate usually varies between 35% and 45%.
If you have further questions on the CFA , ask them in comments.
