Adding the prestigious CFA charter to your list of qualifications can open doors to various opportunities in the finance world. In our previous blog, we explored what the CFA program is and its many merits. Now, let’s dive into the step-by-step process of becoming a CFA charter holder and unlocking its many career benefits.

Getting Your CFA Charter

Earning a CFA charter is not just about passing all three levels of the exam. It’s a comprehensive process that demands time, effort, and commitment. According to the CFA Institute, here are the essential steps to achieve the coveted designation:

Clear All Three Levels of the CFA Exam

The first milestone is successfully passing the three levels of the CFA exam, which cover a broad range of finance and investment topics. While there’s no requirement to pass each level on your first attempt, keep in mind that most candidates take an average of four years to complete the program, as many fail at least one level.

Here’s what you should know about retaking the exams:

• Maximum Attempts: You can attempt each level up to six times.
• Frequency: Candidates can sit for the exams a maximum of two times per calendar year, provided there’s at least a six-month gap between attempts.

Example

• The Level 1 exam is offered four times a year (February, May, August, and November). If you attempt the exam in February and fail, you cannot retake it in May (violating the six-month gap rule). Instead, you could retake it in August or later.
• Note: You’re also limited to two exam attempts within a single calendar year. For example, if you take the February and August exams, you cannot take the November exam that same year.

Complete Practical Skill Modules (PSMs)

To bridge the gap between theoretical knowledge and real-world application, the CFA Institute has introduced Practical Skill Modules (PSMs). These modules provide

• Key Points:
• At least one PSM per level is required to receive your exam results.
• Each module takes about 10-20 hours to complete.
• PSM content is not testable on the actual exam but is essential for obtaining your results.

Tip:

You can complete the PSM at any time after registering for the exam, even after your exam attempt. However, make sure to complete it before the results are released.

Fulfill the Work Experience Requirement

After passing all three levels and completing the PSMs, you need to meet the CFA Institute’s work experience requirements. This step ensures you’ve demonstrated practical, relevant experience in the investment field.

• Requirements:
• A minimum of 4,000 hours of work experience over at least three years.
• The experience doesn’t need to be continuous and can be accumulated from current or previous roles.
• Full-time, part-time, and remote work profiles are eligible.
• Qualifying Work:
• Your role must involve the investment decision-making process or contribute to work products that add value to that process.

Examples of Qualifying Work:

• Conducting financial analysis.
• Preparing investment reports.
• Designing risk management strategies.

Submit Reference Letters

To support your charter application, you must provide two or three professional references. These individuals should be familiar with your work and professional conduct.

• Process:
• References will receive an email link to comment on your work experience and character.
• Choose references who can provide detailed, positive feedback about your expertise in finance and investments.

Apply for Your CFA Charter

The final step is to apply for membership with the CFA Institute. Once your application is approved, you’ll officially earn the right to use the CFA designation—a globally recognized mark of excellence in the finance industry.