Top Internationally known Finance Certifications/ Qualifications that can boost your career in Accounting and Finance.

Top Internationally known Finance Certifications/ Qualifications that can boost your career in Accounting and Finance.

Published by – Ayush Baheti, CFA, CMA, PGDRB

Gaining a finance certification is incredibly advantageous for candidates wanting to pursue a career in finance. If you want to pursue your career as a risk manager, financial analyst, equity analyst, investment banker, or financial planner, it’s a great plan to gain these certifications.

There is a large variety of skilled finance certifications offered, and finishing advanced studies will assist you to climb the career ladder, improve your employability, and increase your pay.

In this guide, we’ll discuss a number of prestigious finance certificates and the benefits of gaining these certifications. 

What are Finance Certifications?

If you ever wanted help or recommendation from finance specialists or might have checked the LinkedIn profile of top-notch finance professionals, you'll have come across people with numerous letters after their names like “CFA”, “ACCA”, “CMA”, among others. These letters indicate that the person has qualified certification in finance.

There are many different kinds of certification offered, and it's attainable to target niche areas and areas of interest group. Finance certifications demonstrate advanced skills and information.

Types of Finance and Accounting Certifications

There are many finance and accounting certifications offered around the globe. The top qualifications/ certifications around the world are as follows:

CFA (Chartered Financial Analyst)

Chartered Financial Analysts have experience in securities and monetary investments. This certification is run by the CFA Institute and is delineated as “the most rewarding and recognized investment management designation within the world.” The Wall Street Journal has ranked it as the most difficult exam in the world. Less than 1/5th of the applicants clear each year, that too after repeated attempts.

The program is rigorous and needs candidates to pass 3 levels, with the primary level having terribly low pass rates.

CFA is a certified investment professional who provides investment guidance and portfolio management for individuals, businesses and other organizations. These professionals can work at institutional investment firms, broker-dealers, insurance companies, pension funds, banks and universities. 

Key points:

* Cost: $2,540 - $5,040

* Duration: three - five years

* Structure: three levels

* Work experience: four years

* Study hours: three hundred - four hundred per communication, up to 1,200 in total

* Focus: investment and portfolio management

CPA (Certified Public Accountant)/ CA (Chartered Accountant)/ ACCA (Association of Chartered Certified Accountants).

A comptroller license is amongst the foremost finance certifications in the world. This can be a widely-recognized qualification that demonstrates information and experience in accounting. This certificate is helpful for people who wish to build a career in finance, tax consulting, auditing, and accounting. 

Different countries impose different rules and regulations on the process of becoming a Chartered Accountant. Following are the most prestigious and recognized accountant qualifications –

• CPA (USA)
• CPA (Canada)
• CPA (Australia)
• ACCA (UK)
• CA (India)

CFP (Certified Financial Planner)

A certified financial planner is a type of financial advisor who possesses one of the most rigorous certifications for financial planning knowledge. CFPs must have several years of experience related to financial planning, pass the CFP exam and adhere to a strict ethical standard as set by the Certified Financial Planner Board of Standards.

This qualification covers a broad spectrum of topics and areas across the sector of finance. It permits financial specialists to supply tailored recommendations to their clients pertaining to investment and portfolio management.

CFP certification covers 2 levels and incorporates a comparatively smart pass rate.

Key points:

* Cost: starts at $2,500

* Duration: four years

* Structure: two levels

* Work experience: three years

* Study period: varies 

* Pass rate: 60% - 70%

* Focus: investment management, retail and wealth management

FRM (Financial Risk Manager)

Financial risk managers concentrate on risk management, and they typically work for financial organizations, like banks and insurance companies. This can be an additional specific niche qualification designed for those that wish to build their career in analysing and managing risk. 

The FRM certification is run by the Global Association of Risk Professionals (GARP) and covers 2 levels.

Key points:

* Cost: $1,500

* Focus: risk analysis and management

* Duration: one year

* Study time: more or less two hundred - three hundred hours per level

* Work experience: two years

* Pass rate: 40% - 50%

CMA (Chartered Management Accountant)

The CMA® (Certified Management Accountant) certification has been the global benchmark for management accountants and financial professionals. This certification demonstrates general accounting and management skills. CMA’s offer tailored recommendations to the management of the companies and draw up strategic plans to assist financial decision-making. 

The CMA is regulated by the IMA (Institute of Management Accountants), and it covers 2 levels. 

Key points:

* Cost: $345 per half for college students and $460 per half for skilled members, and associate admission of $280 for skilled members and $210 for college students and lecturers (new costs introduced in March 2022)

* Structure: two exams

* Focus: finance, accounting, monetary designing, and strategy-making

* Work experience: two years (continuous)

* Pass rate: around 50%

CAIA (Chartered Alternative Investment Analyst)

If you're curious about hedge funds, derivatives, private equity, risk management, and real assets, this might be the perfect finance certification program. This two-level program is conducted by the CAIA Association.

Chartered alternative investment analysts offer a recommendation for investors curious about various alternative investments and diversifying their portfolios.

If you wish to pursue a career in private equity or hedge funds, this certificate can assist you to advance your career. 

Key points:

* Cost: around $3,000

* Structure: two levels

* Pass rate: 50%

* Focus: alternative investments, hedge funds, real assets, and portfolio management

* Duration: one - two years

* Work experience: one year

Summary

Finance certifications demonstrate advanced learning, expertise, and information in finance and accounting. All certifications need loads of labor, however gaining a certification in finance improves career prospects, earning potential, and employability.