CFA CHARTERED FINANCIAL ANALYST

General FAQs on CFA

Question : What is CFA?
Answer – CFA stands for Chartered Financial Analyst. It’s the most respected and valued credential in the global finance community. It is basically a graduate program to learn the market investment fundamentals.

Question: I want to be a financial analyst. How can studying CFA helps me with my aim?
Answer – Virtually every major financial services firm, consultancy, bank, brokerage, and insurance company worldwide employs CFA charter holders. The CFA charter provides a strong foundation for a wide range of career paths in the investment profession. CFA mainly aims at financial analysis and assets management therefore the main emphasis is on the investment market and industries that give you a broader chances to grow and gives you more knowledge for your further career development.

Question : What position in corporate ladder will I able to reach once I become a Chartered Financial Analyst.
Answer : It depends. The most frequently held positions among charterholders are analysts and portfolio managers, though many serve as senior managers, strategists, and advisors. A great many also sit in the executive suite. The firms that hire them know that the charter signifies not only subject area competence, but also a dedication to knowledge, professional expertise, and high ethical standards.

Question : I am already a financial analyst but I am not CFA charterholder. Can I still become a Chartered Financial Analyst?
Answer : Yes, you can. If you complete all the necessary requirements which are essential to enrol in CFA course then you can enrol yourself, study and clear the CFA exams and you will become a CFA charter holder.

Question : What are the basic requirements to enrol in the CFA program?
Answer – following are the main and basic requirements to enrol in the CFA program:

• Have a U.S. bachelor’s (or equivalent) degree
• Or be in the final year of your bachelor’s degree program at the time of registration
• Or have four years of qualified, professional work experience
• Or have a combination of work and college experience that totals at least four years
• (Note: Summer, part-time, and internship positions do not qualify.)
• Meet the professional conduct admission criteria
• Be prepared to take the exams in English
• Effective 1 January 2011: Have a valid international travel passport (required for enrollment and exam registration).

Question – How many stages or level does CFA program has?
Answer – There are three levels that require to be completed to become CFA charterholder.

• CFA Level  I
• CFA Level  II
• CFA Level  III

Question – Please tell us more about these levels and the curriculum.
Answer - below is some more information about CFA levels -

CFA LEVEL I
The Level I curriculum concentrates on tools and concepts relating to investment valuation and portfolio management. The course also covers securities laws and regulations, and the CFA Institute Code of Ethics and Standards of Professional Conduct.

CFA LEVEL II
The Level II syllabus focuses on asset valuation, where candidates must employ concepts of quantitative techniques, economic analysis, accounting-in analysing and valuing investments. Students should have a thorough understanding of capital market theory and industry and company analysis.

CFA LEVEL III
Level III will develop students knowledge of portfolio management in greater depth. Candidates must apply the knowledge and skills learned in Levels I and II to the portfolio management process from estimating and analysing objectives, investor constraints, and capital-market expectations to making asset-allocation decisions.

Question – How many exams do I have to clear in CFA program?
Answer – There are three exams held in CFA Track. One exam is held for each level.

Question – When are exams held and what type of exams are these?

• Level I is composed of multiple-choice questions and is offered in June and December.
• Level II is composed of item-set questions and is offered in June only.
• Level III is composed of item-set and essay questions and is offered in June only.

Question – Where would I appear for the CFA exam?
Answer – Global examination centres list is available at www.CFAinstitute.org

Question – Why study CFA at PIRON?
Answer – We are PIRON Education, a leading provider of educational, corporate and professional training services in Accounting and Finance. With offices in both India and United States, we offer various technical training courses. The company has established itself as one of the leading independent training companies to offer courses globally. We prepare students for professional accountancy and financial exams including the ACCA, CIMA, CPA, IFRS and alike. We have always been at the leading edge of technology. For the first time in several countries, we have launched interactive live online learning, where students can learn at the convenience of their home. Students can raise their queries and get them resolved on the spot similar to live classrooms. Students and professionals across the world get connected to our service and can share their experiences and knowledge with each other.

Question – How does online tuition provided?
Answer – You need to have a computer/laptop with an internet connection and a headphone. Before the class commences, a link is sent to your e-mail address. You click on that link and you are prompted to our online classroom. You can listen to the faculty, other classmates and participate. At the same time, you can clear your doubts and enquiry by asking question without any hesitation.

Question – How do I contact the faculty after classes?
Answer - You can always send your queries by e-mail and your query would be solved as soon as possible by our world renowned faculty.

Question – What would happen if I miss my class or could not attend the class?
Answer – You can easily watch the recorded lecture that was held for that class. Every lecture and class is video recorded, so even if you miss a class, you can always catch up when you are ready.

Question – What all learning facilities and support features are provided at PIRON?
Answer – You get access to following features -

1. Course Duration: online real-time training (Through Web conferencing).
2. Our online training is a powerful tool where you can interact with our world renowned faculty.
3. You can ask question, queries and doubts and your doubts will be solved live on online training.
4. Attention to individual in terms of making sure that full advantage is being taken by students.
5. All the training videos are uploaded on our E-portal which can be viewed at your leisure.
6. Unlimited access of www.flexiguru.com for entire duration of course which has e-learning content in form of videos, presentations, assignments, forums etc.
7. We have partnered with BPP Learning Media. Students studying with us get access to BPP Learning Media high quality study material. Be it online library, text books, sample questions papers and revision kits.
8. Practice Sessions  practice sessions are frequently held to build confidence in student.
9. Examination Tips by Experts for Exam Success.
10. Surprise tests and Mock examination for Performance evaluation.

Question -How can I become a member of CFA Institute?
Answer – You can apply for CFA Institute membership when you have successfully completed the CFA. Kindly visit the CFA website for more information about the CFA Institute membership.

Eligibility for CFA Course

Eligibility Requirements

CFA Program Entrance Requirements

• Have a U.S. bachelor’s (or equivalent) degree
• Or be in the final year of your bachelor’s degree program at the time of registration
• Or have four years of qualified, professional work experience
• Or have a combination of work and college experience that totals at least four years
• Note: Summer, part-time, and internship positions do not qualify.
• Meet the professional conduct admission criteria
• Be prepared to take the exams in English
• Effective 1 January 2011: Have a valid international travel passport (required for enrollment and exam registration)

CFA Syllabus

CFA Modules and Structure

The CFA Program includes a series of three sequential exams that are offered in test centers around the world. These three exams: Level 1, Level 2, and Level 3, must be passed as one of the requirements for earning a CFA charter.

CFA Level 1 is composed of multiple-choice questions and is offered in June & December.
CFA Level 2 is composed of item-set questions and is offered in June only.
CFA Level 3 is composed of item-set and essay questions and is offered in June only.

CFA LEVEL 1

CFA Level 1 curriculum concentrates on tools and concepts relating to investment valuation and portfolio management. The course also covers securities laws and regulations, and the CFA Institute Code of Ethics and Standards of Professional Conduct. The curriculum highlights an overview of asset valuation and portfolio management practices:

• Financial markets and other financial instruments
• Corporate finance
• Analysis of financial statement
• Quantitative methods of investment analysis

CFA LEVEL 2

CFA Level 2 syllabus focuses on asset valuation, where candidates must employ concepts of quantitative techniques, economic analysis, accounting-in analysing and valuing investments. Students should have a thorough understanding of capital market theory and industry and company analysis, and of :

• Analyzing equity and fixed-income securities and other financial investments
• Evaluating alternative investment choices
• Making investment proposals
• Estimating expected investment return on investment and risks

CFA LEVEL 3

CFA Level 3 curriculumwill develop students knowledge of portfolio management in greater depth. Candidates must apply the knowledge and skills learned in Levels 1 and 2 to the portfolio management process  from estimating and analyzing objectives, investor constraints, and capital-market expectations to making asset-allocation decisions. The curriculum covers:

• Corporate finance
• Financial statements analysis
• Ethical and professional standards
• Quantitative methods
• Economics
• Analysis of financial instruments
• Analysis of alternative investments
• Portfolio management

Topic Area Weights for the CFA Exam
Topic Area	Level 1	Level 2	Level 3
Ethical and Professional	15	10	10
Standards (total)	12	5-10	0
Economics	10	5-10	0
Financial Reporting and Analysis	20	15-25	0
Corporate Finance	8	15-15	0
Investment Tools (total)	50	30-60	0
Equity Investments	10	20-30	5-15
Fixed Income	12	5-15	10-20
Derivatives	5	5-15	5-15
Alternative Investments	3	5-15	5-15
Asset Classes (total)	30	35-75	35-45
Portfolio Management and Wealth Planning (total)	5	5-15	45-55
Total	100	100	100