This is one of the most common and critical questions asked by those considering the CFA program. The Chartered Financial Analyst (CFA) designation is highly prestigious and recognized globally in the field of finance. Earning the CFA charter can open doors to unique opportunities that other degrees or certifications may not provide. Let’s explore the reasons why pursuing the CFA program might be the right choice for you.

What is CFA?

The CFA (Chartered Financial Analyst) program is a globally recognized professional certification designed for finance professionals. It comprises three levels of rigorous examinations, along with other requirements, to earn the CFA charter. The curriculum covers specialized skills such as portfolio management, financial analysis, fixed income, equity analysis, and more.

The CFA charter is highly regarded for its depth of knowledge and industry relevance. Click here to learn more about the CFA program in detail.

Why Should You Do CFA?

Completing the CFA program offers numerous advantages, including:

1. Better opportunities in finance

CFA charterholders are often preferred for core finance roles over candidates with other degrees. Even those who pass just two levels of the CFA program tend to have better prospects for securing high-quality jobs and advancing their careers in finance.

2. Higher Earnings

Having the CFA charter can significantly boost your earning potential. According to 300Hours.com, candidates who pass all three levels or achieve the CFA designation earn 57% more than their peers, even when work experience is excluded from the equation. The comprehensive preparation for the financial world gives CFA charterholders an edge in the job market.

3. Deeper financial knowledge

The CFA curriculum provides a level of depth and detail unmatched by most other courses, including MBAs. It focuses on quantitative methods, economics, financial reporting, investment analysis, and portfolio management. As Schweser.com states, “A CFA charter is considered niche in the larger business world compared to an MBA, which addresses a broad array of topics with less depth.” This specialized knowledge is invaluable in advancing your finance career.

4. Cost-effective than an MBA

The CFA program’s flexible structure makes it more affordable than traditional MBAs. The total cost of completing all three levels of the CFA program is approximately INR 3-4 lakhs (assuming you pass each level on the first attempt and don’t take external tuition). In comparison, an MBA in finance from a top-tier institution can cost INR 20-25 lakhs in India, or significantly more globally. This cost advantage makes CFA an attractive option for aspiring finance professionals.

Disadvantages of CFA

While the CFA program offers significant benefits, it’s important to consider its challenges:

1. Time and Commitment:

The CFA curriculum is intensive and demands consistent effort. According to the CFA Institute:

• It takes an average of 4+ years to complete the program.
• Each level requires 300+ hours of study.
• Candidates typically prepare for 6 months per exam.


This means dedicating at least 1.6 hours daily for preparation, making it a significant time investment. Balancing work and study can be challenging, so prioritize accordingly before enrolling.

2. Expense

The CFA program is not cheap. The minimum cost is USD 3,170 (approximately INR 2,76,000 at an exchange rate of INR 87), including a one-time enrollment fee and early registration discounts. Note: Starting from 2026, the CFA institute has removed the one time enrollment fee, and increased prices for registration. Click here to know more.

Indian students must also pay an additional 18% GST on the exam fees. This assumes you clear all levels on the first attempt, which is difficult given the program’s historically low pass rates, especially for Level 1.

Click here to know more about the cost of pursuing the CFA program.

3. Relevance to Core Finance

The CFA program is ideal for those pursuing core finance roles, such as equity valuation, research analysis, fixed income, and portfolio management. However, if your career interests lie in sales, accounting, or technical fields, an MBA might be more suitable. An MBA provides a broader knowledge base and management skills applicable to various industries.

4. Herd Mentality

Avoid pursuing the CFA program simply because it’s popular among peers. Herd mentality can lead to decisions that may not align with your career goals. Make an informed choice based on your interests and long-term aspirations.

Conclusion

The CFA program offers unmatched depth, credibility, and career opportunities in the field of finance. However, it’s not without its challenges, including the significant time commitment and cost. Before enrolling, weigh the pros and cons and consider whether it aligns with your career goals.

At CharterBuddyy, we’re here to guide you through every step of your CFA journey. Explore our blogs and resources to make an informed decision and succeed in your finance career.