Theodore Mancini always wanted a career in finance.
That’s why the 37-year-old construction worker from West Hartford took level one of the Chartered Financial Analyst exam June 7, the first of three steps in what many professionals consider the investment profession’s most rigorous credentialing program.
Less than half those who take CFA level one pass it. The success rate is higher for exam levels two and three.
Mancini, who has a bachelor’s degree in finance from Central Connecticut State University, hopes that by passing the tests he will separate himself from the competition as he embarks on a career change.
In recent years, the CFA Program has enjoyed growing popularity globally, based on the number of candidates registering for the first time for the tests. Worldwide, new candidate registrations have grown by 29 percent from 2007 to 2008.
Up 18 Percent In Connecticut
In Connecticut, 989 candidates took the exam, up nearly 18 percent from last year’s 841 candidates.
Worldwide, 119,000 current and aspiring investment professionals from 165 countries signed up for the exam, according to the CFA Institute, a global association for investment professionals.
That included 23,685 candidates from the United States — a 27 percent increase over last year.
The recent surge in the exam’s popularity doesn’t surprise Jim Hammel, a CFA charterholder and president of the Hartford society of the CFA Institute.
“It’s the gold standard for investment professionals,” Hammel said. “Being a CFA is universally regarded as an important distinction and creates a lot of opportunities in the investment field.”
Hammel said people are drawn to the exam because of the opportunities it creates. As the world grows in its need for financial expertise, he expects the trend to continue.
“It’s a gateway into the profession,” Hammel said. “Finance is a very dynamic and entrepreneurial field. There is a high degree of potential in it. If people are successful, they can make a lot of money. Having the CFA distinction on the resume will get you in the door.”
That’s what Mancini is hoping for.
“I’ve always wanted to get into finance, but as you get into life with a family and mortgage you can’t jump into an entry level job,” said Mancini, who hopes to become a trader on Wall Street or enter the insurance and finance industry. “I’m looking to enter the field with some legitimacy. I thought this would be the best way to do it.”
Developing Markets
The three CFA exams cover a range of financial topics from asset valuation and portfolio management techniques to strategies for managing equity, fixed income, and derivative investments for individuals and institutions. Successful candidates often take three years or more to pass.
In addition to passing the exams, candidates must also have at least four years of work experience in the investment profession and must commit to abide by the CFA Institute Code of Ethics and Standards of Professional Conduct.
Since 1990, the annual growth rate for global registrations in the CFA Program is about 17 percent. It has been especially strong in developing markets.
For example, Vietnamese candidates increased 302 percent from 2007, while Kenyan candidates increased 95 percent.
Countries leading in enrollment include China (7,778 new candidates), Canada (6,223 new candidates), United Kingdom (5,299 new candidates), Hong Kong (5,028 new candidates) and Singapore (4,019 new candidates).
