Value of CFA in India

CFA General
#1

Hello All,

I think a lot of people in India are doing CFA on the basis of getting a front-end finance job. Let me clear your perceptions by sharing my personal experience.

I completed my MBA (Finance) in 2011. I could not get a good campus placement as my B-school was a time-pass one. So I started doing CFA hoping that as I start clearing different levels of CFA Exam, my chances of getting a job in an investment bank or front-end finance company would increase. I cleared my CFA Level 1 Exam in December, 2011 and CFA Level 2 Exam in June, 2012. I started applying rigorously after clearing my CFA Level 2 Exam. But to my utter disappointment, I did not even get a single interview call for next 3-4 months. Then one day I suddenly got a interview call from a KPO. I somehow cracked it’s interview and got selected. They offered me the profile of “Equity Research Analyst”. I was on cloud nine as after much trying I landed up with a job.

After working there for 6-7 months, I realised that the work is not what I had hoped for. I talked with some guys who were into Investment Banking division and fixed income research division of my company and came to conclusion that work is everywhere the same. Moreover, people started telling me that if one gets into a outsourcing industry, it is very difficult for him to go into front-end jobs as one does not learn about the industry in a KPO or a back-end job which is a must for front-end jobs. The longer a person stays in a KPO, the greater the chances of him getting stuck there only.

Now getting back to the topic of the value of CFA in India. I will like to inform you guys that the only way to get good finance jobs (front-end/ Private Equity/ Investment Banks) in India is by doing MBA from a Tier 1 B-school like IIMs, XLRI, IIFT, FMS or having strong connections inside a company. CFA is a useful degree if you want to gain theoratical knowledge about finance but alone CFA will land you nowhere, not even interview calls.

These days a lot of people in India are doing CFA hoping that gates of Goldman Sachs or JP Morgan will open whereas in reality it is a illusion.

Make sure you guys start your career on a right track even though you start it late.

#2

100 % TRUE and AGREED.

Here In India the CFA Course is being advertised as a golden ticket to Investment Banking / Finance. People are enrolling to the program thinking they will get into IB / PE after LEVEL 2. - LOL - And many are thinking that they will easily get jobs in the US / Abroad after clearing CFA exam since it has “global exposure”.

Its like the whole nation of CFA takers here have been brainwashed. I was one of those who was going to fall prey to it but thanks god that i stumbled upon this Forum.

Now, not everyone taking the test in India is misinformed. There are LOT of people already in Front-end Finance Industry/ Investment Banking / Private Equity / IIM’s who are pursuing CFA.

And it will 200 % add Value to their Resume. And having the CFA will be beneficial to them exponentially as compared to someone who is trying to “break in”.

I myself work in a KPO which provides financial research services. And i dont think clearing CFA exam will get me into front - end job. 0.1 % chance of that. That is why I have decided to get my MBA after L2.

I know this guy, a 40 years old - having 20 years Work Exp in IT - applied to our firm and offered to work as an intern for 1 year straight with no pay - because he wanted to " break into Finance ". I felt Sad for him.

So people, do CFA if you are interested in Finance or think that it will be beneficial to your career in some way or other. Its still a Prestigious certificate. But dont expect that you will have Investment Bankers running behind you after you have cleared all the levels.

#3

I’m glad India is coming into realization…cannot begin to tell you how many Indian folk we had coming in here with

“Please evaluate my profile, I am engineer with 10 years experience in IT but I have passion for finance. I’m not in it for money, I just love it. I will give CFA Level 1 this June. Will that be enough to get me into investment banking? I will have no problem passing all three levels on first attempt because I come from IIT, one of the most prestigious in India!!! Will this help?”.

Now you know, on its own, it won’t. In any case, best chance is to do an MBA in the US at a top 10 school and complete CFA.