64thANC Tech 12 (Chartered Financial Analyst)

7/31/2019 64thANC Tech 12 (Chartered Financial Analyst)

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Ch ar t e r ed Fin an cia l An a ly st

( CFA) Pr og r am

Ap r i l Tan , CFA

Pr es iden t , CFA Ph i l ip p i n es


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CFA Institute

The Chartered FinancialAnalyst Program

The gold standard among investmentanalysis designations

- Economist


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CFA Institute


Passion Integrity

Competence

CFA


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CFA Institute


CompetenceCFA exam covers 10 general topic areas essentialto the investment decision-making process


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CFA Institute

The CFA Course of Study

CFA Body of Knowledge

Ethical and Professional Standards

Quantitative Methods Economics

Financial Statement Analysis

Corporate Finance Equity Investments

Debt Investments

Derivatives Alternative Investments

Portfolio Management and Performance Presentation

Investment Tools

Asset Valuation


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The CFA Program

Practical, Relevant Education

Practitioners at every step of the process


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Passion-Substantial commitment- Hours of study: 800-900 hours

- Cost: $2,200 to $3,300


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Fee Schedule

www.cfainstitute.org

June 2010 Examination

23 Sept 09 17 Feb 10 17 Mar 10

Registration

Fee (one-time)

US$390 US$390 US$465

Exam Fee: US$620 US$710 US$955

Total Cost: US$1,020 US$1,110 US$1,435

Total Cost is inclusive of study materials (6 Books)Level 1 Exams are also offered in December


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Integrity-Focus on ethical and professional standards-CFA charter can be revoked due to unethical

behavior


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Benefits of the CFA Charter

Credibility

Competitiveadvantage

Connections

Life long learning

HigherEarning

Power


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Benefits of the CFA CharterEarning Power The CFA Premium

The CFA Premium: US$48,000

$248,000

Non-Charterholders

CFACharterholders

$200,000

Median Total Compensation for CFA Institutemembers with 10+ years experienceSource: 2005 Compensation Survey


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Benefits of the Charter

CFA vs. MBA*

$236,510 vs. $200,000 (18% premium)

$255,000 (combined CFA and MBA)

CFA vs. no CFA designation**$180,000 vs. $116,850 (54% premium)*2005 Compensation Survey median salary for those with 10 or more years of work experience**2005 Compensation Survey median salary regardless of levels of work experience


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Benefits of the Charter

Anecdotal evidence locallyPay increase for exam passers

Strong hiring interest

Companies encouraging employees to take theprogram


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CFA Pr og r am & t h e Local Soc iet y


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CFA Institute

CFA Pr og r am & t h e Loca lSocie ty

Increasing CFA Charterholders in the

Philippines

Creating awareness

Providing scholarshipsProviding review classes


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CFA Institute

Creating Awareness

Target Groups

Regulators

Companies

Universities


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CFA Institute

Scholarship Programs

Faculty Scholarships

Awarded to full-time faculty directly by CFA InstituteAvailable for any level

Student ScholarshipsAwarded by CFA charterholder full-time facultymembers5 students/faculty, max of 10/university

Available for new Level I only


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CFA Institute

Scholarship Programs

Society Scholarships

Awarded to qualified candidates by CFAPhilippines10 per fiscal year

Available for any level


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CFA Institute

Scholarship Amount (2009)

Approximate Costs for New Level I Candidates

Registration fee US $390

Exam fee & study materials US $600

Approximate Total Costs for Level I US $990

*Registration fees waived candidate pays only US$220

for the enrollment


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CFA Institute

Society Scholarship Criteria

Criteria

Ability to Pass

Financial Need

Strong Career Path

Willingness to Give Back


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CFA Institute

Society Scholarship Requirements

Requirements

Completed application form

Copy of official undergraduate transcript of grades

Income tax return (ITR)

Updated resumeCFA Exam Results (for Level 2 & 3 applicants)

Interview


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CFA Institute

CFA Review Class

Improving pass rate

Starting review class for Level 1

When: February 15- May 22

Mondays and Wednesdays6:00 9:00 PM

Where: Ateneo Professional Schools


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CFA Institute

For more information about the CFA Program:

CFA Philippines22/F Taipan Place Bldg.

F. Ortigas, Jr. Road (Formerly Emerald Ave.)Ortigas Center, Pasig CityPhilippines 1605

T: +63 (2) 3971010F: +63 (2) 3971011

[email protected]

www.cfaphilippines.orgwww.cfainstitute.org


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CFA Institute

Career Opportunities (Local)

1. Investment/Brokerage Houses

2. Trust & Mutual Fund Industry

3. Bank Treasury

4. Regulatory Institutions

5. Financial Advisory Groups Risk ManagementDepartments of Publicly Listed or MultinationalFirms


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CFA Institute

Investment/Brokerage Houses

WHAT THEY DO

Perform Valuation (e.g. IPO, M&A)

Perform Investment Analysis (Research Reports)

EXAMPLES

Spencer Yap, CFA President, BPI Securities April Lee-Tan Head of Research, Citiseconline

Gio de la Rosa, CFA Analyst, Deutsche Regis

Denis Du, CFA Associate Director, ATRKimEng Jun Villaluz, CFA BPI Capital

Sheryll Verano, CFA AO Capital


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CFA Institute

Trust & Mutual Fund Industry

WHAT THEY DO

Manage Pension Funds for Institutional Investors

Manage UITF & Mutual Funds for Retail Investors

EXAMPLES

Mike Garcia, CFA Head of Trust, Unionbank- Offers additional ~PHP100K/annum compensation for

every level you pass

Trust/UITF ING, MIB, MBTC, BPI, BDO Mutual Fund SunLife, Philam Asset

Management


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CFA Institute

Bank Treasury

WHAT THEY DO

Manage FX/Bond Transactions

Develop & Manage Derivative (e.g. Futures,Swaps, Options) Products

EXAMPLES

Toto Tansingco, CFA Treasurer, Metrobank- Sponsors Employees on a Case-to-case Basis

Lester Castolo, CFA Treasurer, MIB- Strong Supporter of CFA Program, Sponsors

employees for the CFA Program

Corrie Purisima, CFA VP, HSBC


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CFA Institute

Regulatory Bodies

WHAT THEY DO

Opportunity to influence policy & mandate best

practices among banking institutions Audit Derivative & Fixed Income activities of

Banking Institutions

Manage the Treasury Position of the Central Bank EXAMPLES

Mary Jane Chiong, CFA Head, Capital Market

Specialist Group, BSP

Alphew Cheng, CFA OIC, Treasury Head, BSP- Sponsors all employees who want to take it, will have

5 CFA Charterholders by late 2007.


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CFA Institute

Other Employers

Asian Development Bank*

BPI Securities

Citibank

HSBC

LandBank* Standard Chartered

ING*

*Known to sponsor employees


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CFA Institute

Regional Opportunities

Hong Kong - The CFA designation is recognized bythe HK Securities and Futures Commission as

fulfillment of education requirements for investmentadvisors.

Thailand - The passage of the CFA Level I exam is asufficient requirement for a fund manager license.

Australia - The CFA program is recognized on the listof approved courses to fulfill the educationrequirements for licensing as investment advisors.

Sri Lanka - The CFA designation is recognized by theSecurities and Exchange Commission of Sri Lanka asan accepted educational qualification for fundmanager license.


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CFA Institute

Global Opportunities

Most common occupations of CFA Charterholders:

CEO/Principal Investment Counselor

Chief Investment Officer Investment Firm Manager Equity Analyst Portfolio Manager

Fixed Income Analyst Portfolio Strategist

Investment Banker Sales/Marketing Professional


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CFA Institute

Global Pass Rates

Level 1 Level 2 Level 3

2000 52% 54% 65%2001 49% 46% 82%

2002 44% 47% 58%

2003 42% 47% 68%

2004 34% 32% 64%

2005 36% 56% 55%2006 40% 48% 76%

2007 40% 40% 50%

Registering for the CFA Program


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CFA Institute


Entrance Requirements

Have a bachelors degree, or

Be in the final year of your bachelors degree program, or Have 4 years of qualified, professional work experience, or

Have a combination of work and college experience that

totals at least 4 years.



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CFA Charter Requirements

Sequentially pass Level I, II, and III exams

Have four years of acceptable work experience Provide professional references (Level III)

Join CFA Institute as a member and apply for membershipin a local CFA Institute society

Submit professional conduct statement

Documents

64thANC Tech 12 (Chartered Financial Analyst)