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Print Print edition: 2011-07-19

CFA designation

Published Updated

When someone has achieved the CFA designation-make no mistake he or she is well aware of ethical responsibilities. He upholds the Code of Ethics and Standards of Professional Conduct. She knows why GIPS standards were created and to whom they apply. He has acknowledged his obligation to act in an ethical manner and to encourage others to do the same, with integrity, competence, diligence, and respect.
The letters CFA indicate that this individual is committed to putting the investor's interest first at all times. Those who have the CFA designation employ their knowledge, perseverance, and passion for the investment industry to pass the CFA exams. The CFA charter requires a candidate to attain four years of relevant work experience and to pass three exams-each demanding a minimum of 250 hours of study. The CFA Program is a self_study curriculum, generally pursued while a candidate is employed fulltime in the financial industry with all the requisite obligations of life: family, community, etc. Employers in the financial industry are well aware of the inherent tenacity represented in the letters CFA and what that tenacity brings to an organisation.
The CFA charterholder has an appetite for intellectually difficult work, for self_paced achievement, and for an unambiguous ethical standard. The letters CFA indicate that this person has the ability to face the rigor of a higher bar.
If a CFA charterholder sits before you, she or he can evaluate undervalued and overvalued securities, calculate the values of callable bonds and puttable bonds, calculate alpha, calculate financial ratios used by credit analysts, analyse derivatives, alternative investments, taxes, pensions, inventories, and inter_corporate investments. This list is by no means comprehensive. But its meaning is clear. The designation of CFA represents a reservoir of tremendous analytical skills.
What the CFA designation means to investors: a financial adviser who is a CFA charterholder represents a tremendous reservoir of investment expertise, having demonstrated commitment to the highest standards of ethical and professional conduct, and comprehensive knowledge of investments and analytics.

Copyright Business Recorder, 2011

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