Only 5 percent of Kenyan financial analysts seeking accreditation from the global body were awarded charters after most who took its gruelling examinations, considered one of the sector’s hardest, failed.
This is according to the Institute of Chartered Financial Analysts (CFA) Society of East Africa that last week awarded 38 Kenyans charters for 2019 out of more than 700 analysts who had enrolled in the programme.
The performance is an improvement from 2016 when only 20 Kenyans received charters out of more than 500 individuals who sat the multi-level exams. That same year, only six analysts in Uganda, Tanzania and Rwanda got the charters out of 160 who were in the programme.
A chartered financial analyst is a globally-recognised professional designation given by the CFA Institute. It certifies the competence and integrity of financial analysts.
The dismal performance, however, comes as demand for CFA charters in Kenya has grown over the years. This is because the charter is considered an asset for anyone seeking a career and senior roles in investment management.
“Of late, we have seen a rise in demand for the programme by investment managers and financial analysts from investment companies, mutual funds, brokers’ investment banks, research analysts, financial advisers and risk managers,” said Patricia Kiwanuka, CFA East Africa president.
East African’s pass rate is currently at 30 percent, up from 10 percent in 2016. This is slightly lower than the worldwide pass rate of about 40 percent.
Ms Kiwanuka attributes the high failure rate to the programme’s high cost and rigour.
“For one to receive a charter, one needs to commit a minimum investment of about 1,000 hours and more than Sh300,000,” she said.
The CFA exam has three levels. The tough exam asks questions from an array of topics including ethics, financial reporting, portfolio management and economics.
Source: businessdailyafrica
