The CFA Institute, the global association of investment professionals, says the number of candidates who sat for its chartered financial analyst (CFA) final exam in June was almost 10% higher from a year ago.
Over the last five years, the number of candidates in the exam increased by 28%, which the institute says is reflective of growing interest in the CFA designation as an international credential, and building professionalism in investment management.
A total of 31,631 candidates sat for the final or Level III exam this June, the institute says in a statement. The pass rate was 54%, the same as last year.
Nick Pollard, managing director of Asia Pacific for the CFA Institute, tells Asia Asset Management (AAM) that the number of registered candidates for all three levels of the exam worldwide this year was a record 188,915, up from 172,490 in 2016.
Asia Pacific is the fastest growing market, accounting for 47% of all candidates. The number of candidates from the region this year was up 19% from 2016, Mr. Pollard says.
By country, China surpassed the US as the largest source of candidates with 33,934 people sitting for all three levels of the exam this year, the CFA Institute says.
According to Mr. Pollard, the CFA qualification has become increasingly important in China.
“CFA charterholder growth in China is now just over 4,600, up year-over-year by more than 25%,” he tells AAM. “The asset management industry is growing in China in connection with both increased international investor access and investment into China, and Chinese enterprises going global. Both require internationally-minded finance professionals.”
India had the second largest number of candidates in Asia for the exams this year, with 14,776, followed by Hong Kong, 5,364, and Singapore, 3,295.
The overall pass rates for the Level I and Level II exams were 43% and 47%, respectively.
“As leaders in the industry, we must be bold in our work to focus the investment management profession on redefining value and reclaiming investor trust,” Paul Smith, president and chief executive officer of the CFA Institute, says in the August 9 statement.
He urges candidates and charterholders “to advocate for a new professionalism by revising business models to deliver more value, and leading with candour and transparency to earn back investor trust.”
The institute plans to add new test centres in seven new locations, including Rio de Janeiro and Hangzhou, in coming years to accommodate growing interest. It currently has 262 test centres in 182 cities worldwide.