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39 percent of 37,573 candidate

CFA Institute today announced

To earn the CFA charter, candidates must sequentially pass three six-hour exams that are widely considered to be the most rigorous in the investment profession, as well as complete the minimum work-experience requirement of four years in the investment industry, sign a commitment to abide by the CFA Institute Code of Ethics and Standards of Professional Conduct, apply to a CFA Institute society, and become a member of CFA Institute.

Futuregrowth director Andrew Canter (Pictured right), a board member of the CFA in South Africa,  says the sharp growth of the CFA designation bodes very well for the state of analysis and ethics in the South African financial markets.

The CFA exams test for best practice in investment analysis, portfolio management and ethical practice.  There were almost 1400 CFA Level I candidates in South Africa for the December 2007 exams, and there are over 1000 CFA Charterholders in South Africa.
 
The Level I exam is offered twice a year (June and December), while Level II and Level III exams are offered once each year (June).
 
The number of candidates tested in December 2007 increased 25 percent from December 2006 when 28,082 sat for the exam.  Since the December administration of Level I was first offered in 2003, the number of candidates sitting for the December exam has increased by 45 percent.
 
Jeff Diermeier, CFA, president and CEO of CFA Institute, credits rising CFA Program enrollments to the value employers and investors recognize in the CFA charter, along with the growth of the financial services industry worldwide.
 
“The CFA designation is seen as a global passport that offers charterholders the ability to work anywhere in the world,” Diermeier said.  “Employers and clients alike respect the designation because they recognize that CFA charterholders commit to uphold high ethical standards and have demonstrated mastery of complex topics.”
 
The exams cover ethical and professional standards, securities analysis and valuation, financial statement analysis, quantitative methods, economics, corporate finance, portfolio management, and performance measurement. 

CFA Institute recommends at least 250 hours of study per exam. On average, CFA candidates take four years to pass the three required exams.
 
By country/region, the pass rates for the Level I exam are: 

• United States: 41 percent of the 11,273 total exam candidates
• Canada: 40 percent of the 3,078 total exam candidates
• Europe: 41 percent of the 6,041 total exam candidates
• Asia and Pacific Asia: 39 percent of the 15,120 total exam candidates
• Central and South America: 41 percent of the 325 total exam candidates
• Africa/Middle East: 28 percent of the 1,736 total exam candidates 

The December exam was offered at 52 test centers in 29 countries worldwide.
 
“The CFA Program’s Body of Knowledge is determined by extensive global practice, which ensures that the curriculum and exams are relevant and timely,” said Bob Johnson, CFA, Deputy CEO of CFA Institute.  “Employers find great value in this, and many require their professional staff to earn the CFA charter.”
 
Employers with the largest number of CFA charterholders include Citigroup; Credit Suisse; Deutsche Bank; The Goldman Sachs Group, Inc.; HSBC; JP Morgan Chase & Co.; Merrill Lynch & Co., Inc.; Morgan Stanley; Royal Bank of Canada; and UBS.
 
There are more than 81,000 CFA charterholders in 126 countries and territories.  Since the first exam was given in 1963, the average, global pass rates are 46 percent for Level I, 51 percent for Level II, and 67 percent for Level III.