CFA qualification as value addition for MBA candidates

CFA refers to the Chartered Financial Analyst designation. The programme was set up in 1962 in Charlottesville, Virginia. The aim was to certify finance professionals, much like accountants or lawyers.

Initially the idea did not take off; at first only few Americans thought it was worth going through the gruelling examinations. But after initial glitch, the number of enrolment for CFA program have risen significantly. CFA Institute, the global association of investment professionals, announced that of the 137,790 candidates who sat for CFA Level I, II and III June 2016 exams globally, 12,117 were from India, the third largest number of exam takers after the United States (31,501) and China (26,758).
Now candidates see CFA, as a way to find a suitable job in investment banking industry. As the number of investment banking jobs has plummeted in recent periods — banks are becoming pickier about whom they choose. Those with the CFA stand out. Banks are more concerned with specific skills and with a wide choice of applicants those who already know the workings of, say, cash-flow modelling may well get the nod over generalist types.

Some, therefore, see CFA as a substitute for an MBA, but MBA with additional qualification of CFA will help you in career growth in better way. Only hindrance for getting CFA qualification is it cost around ₹1,75,000/- for all three levels and in many ways, it is not only more theoretical, but also more rigorous. In an average year, barely a third of students who sit the exam had passed.