I just passed CIPM Principles exam, just wonder if any one else is on the same boat. Is there a forum to discuss CIPM? Thanks
Does the CIPM have any use at all outside of the performance measurement circuit? I’ve thought about doing CIPM in the past (since I am a performance analyst), but I doubt it would add much additional value once I have completed the CFA program.
Yes - I just passed the expert CIPM exam. I’ve also passed level 1 of the CFA. The Expert CIPM was incredibly difficult - completely incomparable to the Principles. The knowledge I gained has been very very useful. Few firms (or clients) are satisfied with their current performance (want more attribution, different methodologies) - at one point, I was literally presenting projects based on articles I’d read the night before. Prior to the exam, I’d read Fiebel’s book, all of Spaulding’s books, and some of Bacons. Highly recommend the CIPM for performance analysts.
I just passed Principles as well. I know quite a few people who have taken the Expert level and agree it much harder than the first exam. I am also registered for CFA level III in June. I work in Performance Measurement so the CIPM is relevant. It’s a great compliment to the CFA program for those who work in the field but probably too specialized for those who do not.
The CIPM was created in response to the CIMA program that is run by the IMCA organization through Wharton. It’s geared towards institutional consultants and sales people for whom the CFA would be overkill. For performance measurement, investment policy statement creation and deep MPT knowledge, the CIMA is much better known than the CIPM and I’d recommend it over the CIPM at this point.
T2 Wrote: ------------------------------------------------------- > The CIPM was created in response to the CIMA > program that is run by the IMCA organization > through Wharton. It’s geared towards institutional > consultants and sales people for whom the CFA > would be overkill. For performance measurement, > investment policy statement creation and deep MPT > knowledge, the CIMA is much better known than the > CIPM and I’d recommend it over the CIPM at this > point. CIPM (Certificate in Performance Measurement) has nothing to do with institutional consulting, IPS creation or MPT. It is designation designed specifically for Performance measurement, attribution, appraisal and GIPS. The designation is designed as a compliment to the GIPS, which is a huge focus of the CFA Institute. The CIMA is for institutional consultants and it has an entirely different purpose and audience.
I disagree, the CIPM has a focus on GIPS, but the course overlap is huge and the CIPM was clearly made to compete with the CIMA.
From CFAI: “The CIPM program is a specialist study and exam program for investment performance professionals. The candidate body of knowledge includes professional ethics; performance measurement, attribution, and appraisal; and the Global Investment Performance Standards.” Performance measurement and attribution does make up part of the CIMA curriculum, but the CIMA also covers numerous other topics that relate to investment management. The CIPM is 100% focused on performance related topics. The CIPM designation has been around for some time (used to be called the GIPS). The CIPM is for performance professionals (GIPS verifier, performance analyst, etc) and the CIMA is for financial advisors and investment consultants.
I have registered for the CIPM principles exam . For the people that passed - how many hours did you put into it ? I plan on writing the exam in March but I’m also writing the CFA lvl 3 exam in June and I need to figure out the most efficient way to study and pass the principles exam . I noticed there is some overlap with lvl 3 material so that is a bonus . I dont think it really adds any long - term value if you are already doing the CFA , the only reason I’m doing it is because my boss wants me to . Here is a performance / CIPM forum I came across , its not as active as AF but it seems to be a good resource if you are in the performance field . http://www.investment-performance.com/
agreed with Rudeboi - CIPM is very specialized. Unless you want to pursue a long-term career in performance measurement, there’s not much value to it. And if you want to stay in performance forever, you don’t need the CFA. If you already have the CFA or passed level 2, there’s no sense in taking CIPM even if you want to work in performance, because CFA is more highly-regarded (in my opinion).
I spent less than 50 hours after passing CFA level II in June. In general, prinicples exam is much easier than CFA, but I’d suggest to concentrate on GIPS, which is my weak part. CIPM is a specialized program, I think it adds value as CIPM trains to think like a portfolio manager to view the impacts of asset allocations and risk attribution at a broad level.
Does the CIPM have any value whatsoever outside of the field of Performance analysis / attribution (particularly in fixed income asset management)? I am taking L3 CFA in June, and should have 4 yrs experience by next fall. I’ve considered taking CIPM, but I DEFINITELY don’t want it getting in the way of the CFA program.
All fixed income asset managers should understand the benefit of Fixed Income Attribution. The Expert level has a session dedicated to this topic (see below). However, this section is merely a part of the overall program and enrollment benefits should be considered as a whole. Study Session VI: Performance Attribution (B) – Fixed-Income The candidate should be able to: 1. distinguish between external market conditions and the manager’s investment decisions; 2. distinguish between the two components of the effect of the external macro interest rate environment: interest rate level and interest rate change; 3. distinguish among the three components of the management contribution: the returns from maturity management, sector/quality management (also called spread/quality management), and security selection; 4. calculate and evaluate fixed-income portfolio performance, given the results of an attribution analysis conducted in the Fong-Pearson-Vasicek framework; 5. state the critical differences between stocks and bonds, and compare and contrast the appropriate performance attribution approaches for equity and fixed-income portfolios; 6. explain the sources of fixed-income returns in the Campisi framework; 7. calculate the income return and the treasury, spread, and selection effects of a fixed-income portfolio in comparison with an appropriate benchmark; 8. evaluate portfolio performance, given the results of an attribution analysis conducted in the Campisi framework; 9. explain how van Breukelen uses reference portfolios in fixed-income attribution analysis; 10. calculate the contributions to value-added returns from the overall duration decision, market allocation, issue selection, and currency allocation; and 11. evaluate portfolio performance, given the results of an attribution analysis conducted in the van Breukelen framework.
Rudeboi, I only needed about 20 - 25 hours to pass with some margin to spare. However, I have read a few books on performance measurement and have worked in the field for years (plus was familiar with GIPS from the CFA program). Plan on the recommended 50 - 70 hours or so to be on the safe side. You can always take the practice exam to gauge your readiness.
Hey Chad, How about adding a CIPM forum now while you’re at it?