CFA Exam Application Numbers are Higher But Pass Rates Fall
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Having watched an stampede from mortgage and finance into accounting over the last three years, I have a simple explanation for this: More people are applying for the CFA but since they are doing so not because they want to be CFAs when they grow up but because they are interested in job security, applicants are likely less prepared to take the CFA exam. Just my guess.
A lower percentage of hopefuls for the Chartered Financial Analyst designation passed the first and second level of their three-part exam in June compared with a year earlier, as a record number of people tried to get an edge in Wall Street hiring.
Forty-two percent of applicants passed the exam’s first test, CFA Institute spokeswoman Kathy King said today, down from 46 percent on the June 2009 exam. Thirty-nine percent of applicants passed the second, compared with 41 percent a year earlier.
A record 139,900 candidates enrolled to take CFA exams in June, aiming to capitalize as Wall Street begins to recover from the worst shakeout in decades. Applicants take the test hoping the certification can lead to better jobs, higher salaries and a deeper understanding of finance.
Friendly reminder, you can find more info on the CFA including requirements and salary benefits via Going Concern. My slave-driving editor made me do an entire series on credentials for accountants, of which the CFA was one of our more popular posts. Go, kids, go!