The question, “Can I do CFA after 12th?” keeps arising in students who intend to pursue a career in finance. Since the CFA program requires candidates to get themselves registered for Level I upon having a bachelor’s degree or on completion of their final year of undergraduate studies. However, this does not mean you cannot start preparing for CFA early in your academic journey. The right course after the 12th can prepare you for the CFA program. Hence, if you enroll in courses that include commerce, economics, or finance, it can enhance your preparation for the CFA program. Here in this detailed guide, we will try to explore the question as to whether you can do CFA after 12th and how you can prepare for CFA after your 12th standard.
What is CFA?
The CFA is one of the most popular professional certifications in the financial and investment world. The program is affiliated with the CFA Institute, based in the USA, recognized all around the globe, and is for professionals involved in investment management, financial analysis, and advisory services.
The CFA program covers an array of topics relevant to the modern finance professional, such as:
- Investment analysis and portfolio management
- Corporate finance and governance
- Equity and fixed income analysis
- Financial reporting and analysis
- Derivatives, alternative investments, and risk management
- Ethics and professional standards
Key Highlights of the CFA Program
- Three levels of exams: The candidates have to pass all III levels.Â
- Minimum Time to Complete: 1.5 years if all levels are cleared at first attempt, though most candidates take about 2-4 years.
- Global Recognition: The CFA charter is very highly recognized across the globe where gates to major financial centers open up, particularly in New York, London, Singapore, and Mumbai.
- The CFA curriculum: CFA with emphasis on hands-on investment and portfolio management, enables the students to gain a practical understanding of financial markets.
All three levels plus professional experience (described below) result in a successful pass with the awarding of the CFA charter, an associate title in the finance industry.
Can I Do CFA After the 12th?
Most of the students think that they can go for the CFA program right after completion of their 12th standard. However one needs to remember that there are eligibility criteria while registering for the Level I exam of the CFA exams.
That is, to answer the question, “Can I do CFA after 12th?”, the short answer would be no, but let’s break it down further.
CFA Eligibility Requirements
To be eligible for CFA Level I, candidates should satisfy one of the following:
- Bachelor’s degree: Bachelor’s degree in any discipline.
- Final Year of Undergraduate Course: all applicants who have completed the final year of undergraduate course should register.
- Professional Work Experience: Alternatively, applicants can have 4,000 hours of professional work experience; this is approximately 3-4 years.
However, it is these stringent requirements that help ensure that students entering the program possess a more than adequate grounding in education or work-related experience to be able to withstand the challenging CFA curriculum, for financial concepts run very deep.
Pathway After 12th
Although you cannot join the CFA program after completing the 12th, here are some strategic steps you can undertake to prepare yourself for the CFA journey.
- Pursue a Bachelor’s Degree: Pursue a degree like B. Com, BBA in Finance or BA in Economics. These degrees will provide a good ground for your CFA study as they will contain modules with a curriculum that covers accounting, economics, and financial management among others.
- Explore Internships: Seeking to complete finance-related internships related to investment banking, asset management, or financial analysis during college will give a real-world application of the concepts learned during degree work.
- Build knowledge of finance: Start reading books, financial journals, and research articles on investment management, economics, and financial markets. Familiarize yourself with the core concepts like valuation, equity markets, and ethical standards.
- Start Preparing for CFA: Although one can still not register for the CFA exams yet, the best thing to do would be to start a course of preparation for Level I using such prep materials and resources that are made available to you.
Can I do CFA after 12th commerce without maths?
Yes, you may pursue CFA after 12th commerce and even if you have not studied mathematics. However, you would require doing that as part of pursuing the CFA program, which is predominantly focused on finance, economics, and investment management concepts. Nonetheless, a basic knowledge of statistics and some elementary quantitative methods, would be helpful in subsequent levels of the CFA program.
CFA: Salary & Duration
The CFA designation is highly coveted in the finance industry, especially since you will land a career rich with high salaries. Now, the CFA salary varies widely on experience, geographic location, and specific industry. Let’s now take a look at the expected salary range as well as the time it will take to complete your CFA program.
Duration of the CFA Program:
- The minimum time taken to finish the CFA program is 1.5 years, taking into account the fact that the candidate has cleared each level in the very first attempt, though most candidates take about 2-4 years to complete all three levels of the CFA program.
- Candidates must also complete at least 4,000 hours of professional work experience in addition to passing all three exams to obtain the CFA charter.
The level I and II exams are done by sitting twice a year, whereas the level III exam is taken annually. This format will allow candidates to carry out their studies in phases as they work or carry on at another learning institution.
CFA Salary Expectations:
- Generally: The salary of a CFA charter holder varies in relation to experience and location. In terms of location, CFA professional receives around $ 100,000 – $300,000 a year which is relatively high in places like the USA, the UK, and Singapore.
- Salary in India: Salary prospects for the CFA charter holders in India are good as well. The fresher can expect an amount from ₹6 lakhs up to ₹12 lakhs per annum. Salaries increase significantly with a couple of years of experience going as high as ₹20 lakhs to ₹50 lakhs, depending on the senior positions, which may be investment banking, portfolio management, and equity research.
Eligibility Criteria
As shown above, one of the following must be met for CFA candidates:
- Bachelor’s degree in any field
- Be in the final year of their undergraduate program
- More than 4,000 hours of work experience.
Candidates become eligible after completing this requirement and are then able to apply for the Level I exam, which is the first step in achieving the prestigious charter of the CFA.
CFA Exam Difficulty
CFA exams are considered to be very tough and that is reflected in the pass rate:
- Level I Pass Rate: About 40-45%
- Level II Pass Rate: Around 45-50%
- Level III Pass rate 50-55%
These pass rates reflect the highness of the program and the knowledge acquired. Each level is based on the concepts learned in the previous one:
- Level I deals with the very basic knowledge concerning investment tools and ethical standards.
- Level II is on the practice of valuation methods and financial statement analysis.
- Under Level III, portfolio management and wealth planning take center stage.
There are about 300 hours of study needed for each level by the candidates.
Conclusion
In brief, the route to joining the CFA program cannot be taken after the 12th standard, but you can take a few steps forward to prepare yourself for the CFA exams. Pursuing a finance-related undergraduate degree, with relevant internships, and a solid foundation in financial knowledge shall place you on the right path for the CFA program. Once the charter is earned, the CFA opens up those very doors to the most lucrative and prestigious careers in investment management, portfolio management, and financial analysis.
Can I DO CFA After 12th FAQs
Is it possible to do CFA after completion of 12th commerce without maths?
Yes, you can do CFA after 12th commerce with maths or without maths. But the basic knowledge of mathematical calculations and workings will help in dealing with certain parts of the CFA curriculum.
What is the CFA salary in India?
A salary for a fresher who has just joined in India can be between ₹6 lakhs and ₹12 lakhs; Experience level: up to ₹20 lakhs or above, based on the job and the industry.
Can I do CFA after CA?
Yes: Most CA graduates prefer to opt for CFA to develop their capabilities in the field of financial analysis and investment management. Both CA and CFA are in great demand in the corporate finance and investment circles.
Can I write CFA immediately after graduation?
Yes, you can register for the CFA Level I exam after completing your graduation. You can even register in the final year of your undergraduate program.
How long does it take to complete the CFA program?
It takes around 2-4 years on average to complete all three levels of the CFA program, assuming that one attempts each level and passes the level on the first attempt itself.
