Quit Now While You Still Can

CFA Level I
#61

You’re going to have to explain this. Did you work in IT in a finance company? Or did you do finance in an IT company?

And what did you expect? Do you plan to stay in IT? If so, then why take CFA?

Did you expect people to offer you a $250k salary just because you passed Level 1?

I agree that the test is not for everybody, but your story is more unusual than most. It seems like you took it just for the sake of taking it–then never bothered to even look at Levels 2-3. (Not saying that’s a bad thing.)

#62

Haha - congratulations on an excellent troll post. I think the point that you either missed or are pretending to miss is that the CFA probably isn’t beneficial for 99% of the people that take it if their current employer doesn’t explicitly require it. Good luck to you though - maybe you’ll be able to pass Level 1 some day.

#63

The charter is definitely overweight people in IT looking for a switch. I can’t count the resumes I get with new charterhodlers and all past experience was in an IT-related field. They never get considered for real buy side opportunities. I dont get this desire. If I had IT skills, I would spend the time learning new code ot something that is in higher demand. So I can work at a start up or quantitative field. Finance jobs are shrinking and most will go to those fresh out of school / bschool. My personal excuse is that it is far too late for me to take up programming or IT as a skillset.

But for newly minted graduates / MBAs. CFA is a perfectly respectable designation to achieve. OP is just trying to stir the pot which he has done successfully.

#64

I work in IT at an investment bank and I will always stay in IT. I believed the CFA curriculum was directly applicable to my job, but the level of learning you have to go to is nowhere near applicable to my job. Nobody memorizes formulas for their job; it’s ridiculous.

As for salary expectations - I’ve been in IT for 15 years and my salary already exceeds $250k and it has nothing to do with the fact I passed Level 1. My objection to the CFA program for IT people is that the vast majority of IT people that do hiring at finance companies have never heard of the CFA program.

But we’re straying from the original point of this topic which is that the vast majority of people that aren’t explicitly required to take it to maintain their existing job are wasting their time with the CFA program.

#65

To summarize, in my opinion, it’s probably not worth it, unless you are fresh out of ideas for your life and have a lot of desire to study finance, relatively cheaply compared to an MBA.

Here’s some true stories of how the CFA prog. worked out for my friends and I. So far, I do not know any CFA Charterholder who has used it to any degree of success most of you guys are looking for.

Most succesful I know:: A friend who was already an associate at a bank, got a salary increase from 120k, to 150k USD a year upon pasing level 3 and gaining the charter. So 30k increase (here in NYC it’s more like 15k after tax) for 4 years of struggle and effort.

Another: Failed L2, is working as an associate at a mid-level bank, good pay, but no promotions, partially because of no MBA and no CFA. It’s debatable though, if the CFA would have qualified them for a promotion or job change in a shrinking industry like finance.

Another: Graduated from Wharton undergrad, Passed Level 3, was working as a Goldman 3rd year analyst, there were no job offers with the CFA , so they quit their job and went back to school at a Top 5 business school

Another: Failed L2, got laid-off shortly after, traveled the world for a year, and took an associate banking job in Singapore.

Myself: Failed L2, started a hedge fund two years ago. I’m not rich yet, it’s still struggling, but I can honestly tell you, that starting my own business was actually easier and way more rewarding than a CFA. I didn’t give up on the CFA, I still might do it, but I realize it’d only be for ego and self devlopment, not related to getting a better job. My hedge fund experience is 10x the value of a CFA. (I also got an MBA at 23 and I feel that was more valuable at this point).

If you’re a profitable trader, one of the key things is knowing when to enter a trade before others do, and exit before they do. it’s about avoiding a crowded trade, or getting in early, and getting out. My opinion = CFA = crowded trade, time to get out.

I’ve looked at the CFA salaries on average, when I started the program in 2010, since then, they’ve been halved.

You’re going to have to weigh the probabilities though based on your individual situation, age, education, experience and career goals.

If it’s only a high paying job you’re after with a CFA, like I was initially, you missed the boat by 5 years at least.

#66

Is Python sth. nice to learn to get in a job in finance? I graduated 1.5 years ago and wanna get an job like financial analyst or equity researcher…How can I get one? If I passed level 1 and have experience as accounting technnician, is it relevant experience to put on my resume to get this kinda job?

#67

I was overseas doing a teaching gig , did the CFA during my time there, came back home (no finance experience) and looked for a job.

I found the CFA did land me interviews, but obviously soft skills are necessary, too.

I agree with #2…this is what happened to me. Doesn’t make it official, but it definitely does happen.

But…I do feel the charter is overrated. However. it definitely does prove your discipline and dedication, which a lot of employers value.

Makes a difference, but most important things are soft skills (kissing ass) and who you know.

Also agree with programming…

#68

Can’t comment on python but as for SQL;

http://www.amazon.ca/All—One-Dummies-Allen-Taylor/dp/0470929960/ref=sr_1_2?ie=UTF8&qid=1371148670&sr=8-2&keywords=sql (Read it, provided good base of knowledge, but SQL bible is better…)

http://www.amazon.ca/SQL-Bible-Alex-Kriegel/dp/0470229063/ref=sr_1_3?ie=UTF8&qid=1371148670&sr=8-3&keywords=sql (more in depth/expansive then dummies)

Theres a few more on amazon, just type in SQL. I can’t comment on them because I haven’t read them.

Also, many free resources online, even textbooks, just search ‘sql * pdf’ where * can be introduction/tutorial/beginning etc.

Also, you’ll need to apply it to understand it. Download SQL studio for your coding environment (link below) and find some tutorial data sets/unstructured data sets to work with.

http://download.cnet.com/Microsoft-SQL-Server-2008-Management-Studio-Express-32-bit/3000-2383_4-75451530.html

As for OP, 100% agree. This charter has become a farce in terms of the sheer quantity of people writing each year, and its a shame to see coworkers who are full CFA Charterholders, and who are working a job that does not require it. From my own experience studying for L2 these past 6 months, it becomes less about using the CFA as a tool for career advancement (which is the subject of this threads debate) and more for ego reasons: passing because its challenge/finishing what you started etc - Which isn’t necessarily a bad thing, but you need to thoroughly examine your incentives and what you really want out of your career/what you can get out of your career. Sometimes, like in my case, it’d be more rewarding by nearly every metric to improve my current role skillset - financially, work/life balance, stress levels, opportunities (big one! as said before, FO opps are shrinking in relation to overall growth). The only metric that it would not satisfy is the prestige of FO, even though I’d have little hope of making it into a top spot.

#69

If a person has an Ivy League undergrad and passed Level 3 and had three years at GS as an analyst, but couldn’t find a job, then there must be something wrong with the person–not the CFA program.

I would consider three years as analyst at GS a success.

#70

No Greenman, GS analyst can mean anything.

If the guy was trying to interview for Equity Research Analyst, having done 3 years as a back office analyst will do nothing, and mostly likely hurt his chances.

#71

RBS has cut 2000 jobs in I banking .

No new CFA chartholders will be required ever since jobs will keep shrinking .

We all are wasting our time…

We should all go for govtjobs

But hey even Govt can collapse now .

So do as you please

#72

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#73

You are brutally honest but what you said is very true. that’s why i’m regretting it for myself… T_T

Honestly though, if you genuinely interested in learning the subject, go online, subcribe to financial magazines and perhaps borrow the CFA texts from others who have taken it. YOU DON’T NEED TO WRITE THE EXAM TO LEARN THE MATERIAL.

And if you are not THAT interested - give up. You are not going to make use of it anyway, and you will not make decent money in finance to justify the time and effort - YES, NOT EVERYONE MAKES MILLIONS AS A FINANCIAL/ EQUITY ANALYST OR PORTFOLIO MANAGER.

Just to save some time for L1 takers, if you are in doubt, DO NOT PROCEED. Really think it through before you go on, you could’ve acquired other skills with the same time and efford and achieve a lot more!

#74

Hi Hei So, i hope you read this because many people are in your shoes and my advice is that, if you are looking to get into finance, you have to ask yourself what do you know about finance to be employable.

Back to the basics, what makes you a good analyst?

Your academic skills only go so far because in the real world, you’ll be surprised how little people care about your credentials, especially for entry levels. Think about it this way, there are only a handful of finance jobs to start with and you will not get recognized just by your degree and a CFA candidacy. If you spend the time studying for an exam you may as well go join a finance club or an online stock game, or even better, start a real portfolio and prove yourself! There are numerous ways to get started and if you manage to make 500% return on your portfolio, i think that would land you an interview faster than your CFA LEVEL 1 Canadidate label on your resume.

#75

Thanks Hachiko. Really appreciate the advice.

#76

I doubt one would actually go back to corporate world after making a decent 500% return!

#77

I am in the similar shoes as Hei So. I graduated in 2011 from a top university with a finance degree. Since then I have been working as accounting tenician. I am very interested in getting a position like financial analyst. Yeah I dunno how much CFA can help in this. I am considering switching to CMA…

Any suggestion?

#78

I believe CMA and CA have officially merged to CPA, but its being grandfathered in. I would have liked to as well, but after the merger it would be a much more difficult process. I’m in a similar boat.

#79

I have been overly critical of people who put “Level 1 Candidate” on their resume, but I strongly disagree with this.

Anybody who gets a 500% return on a portfolio is a lucky guesser–that’s all. At least if you put “Level 1 Candidate” that shows that you’re committed and have put out a little bit of capital.

Now, if a person gets 500% every year for three years, that’s a different story.

About CMA and CA–that’s not true. The AICPA and CIMA did make a “joint” designation to compete with the CMA, called the CGMA–which I also hold. The value of the CGMA is extremetly dubious, although it may continue to gain recognition.

#80

Greenman72

What do you think abount ACA (ICAEW)?