For past few years CFA or Chartered Financial Analyst has been a buzz word among the finance professionals of the country. If we closely look at the job circulars, it can be observed that the demand of CFA qualifiers are increasing rapidly. As a matter of fact, top performing companies of the country are now even looking for CFA Level 1 qualifiers for the roles where obtaining an MBA was enough a few years ago. However, there are strong reasons behind such popularity of this program.

CFA program is offered by CFA Institute, the world’s largest association of investment professionals with more than 178,000 members and 157 local member societies worldwide. This program is designed to build a strong foundation of advanced financial and investment analysis and real-world portfolio
management skills. The core curriculum topics include ethical and professional standards, quantitative methods, economics, financial reporting and analysis, corporate finance, equity and fixed income investments, derivatives, alternative investments and portfolio management and wealth planning. The curriculum is updated on continuous basis to cover all the aspects of the ever-changing financial and investment industry. Thus, earning the CFA
charter validates having the up-to-date knowledge, skills, and experience needed for investment analysis and management in today’s dynamic global market. Throughout the curriculum, significant emphasis is given to ethical and professional standards. All the charterholders including the candidates are required to follow the CFA Institute code of ethics and standards of professional conduct which makes them more valuable to their employers. Local CFA member societies with the association of CFA Institute also arrange educational programs throughout the year for the candidates and charterholders, inviting top officials from different sectors and countries as keynote speakers. Thus, the program also helps to unlock the potential to work within numerous investment specialties and markets across the globe and provide networking opportunities. 

Steps to Earn the Charter:

Step 1: Passing all three levels of the CFA Program
Step 2: Having four years of professional work experience in the investment decision-making process or producing a work product that adds value to that process (accrued before, during, or after participation in the CFA Program).
Step 3: Joining CFA Institute as a regular member.

Three levels of exams:

The course of study is organized into three levels and each level requires passing a six-hour exam. The program curriculum increases in complexity with each level. To obtain a CFA designation, one must complete all levels of the CFA program. The average pass rate in last 10 years (2010-2019) across all three levels is 44.0%.

Level I: Focuses on a basic knowledge of the ten topic areas and simple analysis using investment tools

Level II: Emphasizes the application of investment tools and concepts with a focus on the valuation of all types of assets

Level II: Emphasizes the application of investment tools and concepts with a focus on the valuation of all types of assets

Md. Shaheen Iqbal, CFA, is the newly elected President of CFA Society Bangladesh. He is also serving as the Head of Treasury and Financial Institutions at BRAC Bank Limited. He received his Charter in 2017. Apart from his outstanding journey in the financial industry of Bangladesh, his contribution to the CFA society Bangladesh is illustrious as well. Last year, he was elected as a board member of CFA Society Bangladesh and this year in July he was elected as the president of the Society. After graduating in mechanical engineering, Mr. Iqbal completed his MBA from Institute of Business Administration. However, he
realized an MBA does not give the 360 degree overview of finance or financial knowledge. Thus, the desire of expanding the horizon of his financial knowledge motivated him to pursue CFA. Moreover, when he went through the reading materials of CFA, he found those to be very user-friendly with detailed elaboration of topics associated with rigorous exercises necessary to gain in-depth knowledge. In a conversation with Bonnishikha Chowdhury of MBR team, Mr. Iqbal shared his insights regarding the prospects of CFA program and the activities of CFA Society Bangladesh.

MBR: Please share with us the vision of CFA society Bangladesh.

Md. Shaheen Iqbal: The vision of CFA society Bangladesh is to build a credible investment management industry in the country through adoption of highest professional code of conduct and global best practices. Moreover, CFA Society engages with various stakeholders to facilitate professional development and  to ensure market integrity for the greater good of the society.

MBR: How do you recognize the prospect of a CFA charter both in Bangladesh and globally?

Md. Shaheen Iqbal: I believe the prospect is very promising. CFA Charter holders have contributed immensely towards the development of investment management industry in many economies. In Bangladesh, our capital market is still underdeveloped and the size of Capital Market is pretty small compared to its GDP, this shows huge potential. A knowledge based society and professionals are required to take us to that level. I think CFA charter holders can lead the industry towards that direction. Thus, we need more and more CFA charter holders to cater the scopes of growth of the industry. In Bangladesh, we currently have 122 registered charter holders. However, those who are now serving aboard are not included in this statistic.

MBR: With time CFA program is getting more popularity than other professional degrees in the country. What is your opinion regarding this?

Md. Shaheen Iqbal: CFA has a very relevant and exhaustive curriculum compared to other professional degrees, I would say. This is why it is considered as the ‘gold standard’ of investment management industry. Thus, anyone who holds the charter will be equally recognized across the globe. Since there is only one exam conducted by CFA Institute, no matter from where you intend to access the exam, it will be same. It gives the charter holders a different perspective or exposure. Moreover, a CFA candidate goes through a rigorous ethical and professional learning and practical case studies which makes the program unique compared to any other professional courses.

MBR: What are the roadblocks in general a CFA pursuer faces and how to mitigate those?

Md. Shaheen Iqbal: One needs to pay enrollment and exam registration fees in USD terms, which may be considered good amount of money in our standard. This can be a deterrent for potential candidates to sit for the exam. However, CFA Institute (CFAI) has been allocating a good number of scholarships for the candidates from Bangladesh. CFA Institute has separate scholarship schemes for regulators and regular candidates. Last year CFA Institute allocated more than 150 scholarships (equivalent to BDT 10 million approximately) for the candidates from Bangladesh. CFA Society works as an agent of CFAI in selecting the eligible candidates for building a stronger knowledge based of professionals. 

MBR: Do you believe companies should at least partially sponsor their employees to pursue CFA?

Md. Shaheen Iqbal: Of course, I strongly believe so. This will be another agenda of CFA Society Bangladesh to engage with the top employers of Bangladesh in the development of their employee base. Some employers are already practicing this and gradually the number will increase since such initiative will eventually benefit the employers. Thus, I would suggest that the employers sponsor the full amount once the employee passes each level of the exam.

MBR: What role does CFA Society play in order to make the program more available to students of the country?

Md. Shaheen Iqbal: CFA Society organizes extensive programs to reach out to the students. We conduct seminars and workshops in order to make it familiar to the business students and encourage them to pursue it. Moreover, we have some affiliated universities and teachers from those Universities are allowed to select candidates and offer scholarships as delegated by CFA Institute.