CFA has now become a popular course in India. Statistically over the past seven years, the number of applicants for CFA has increased by 30% each year, and India now becomes the third-largest market for CFA after China and the United States.
There is huge competition among candidates for passing exams and getting hired for a job.
There is a drawback among Indians that only 2.3 percent of Indians invest in capital markets, and 78 percent in the United States as per the NSE (National Stock Exchange) invest in it.
CFA Salary In India
The financial sector is one of the highest-paying industries. In the first three to four years of your career, the pay is on par with other professions, but it will increase exponentially after some years.
In India, if a CFA charter holder holds 10+ years of experience he/she will pay an average of INR 25-30 Lacs per year. During the CFA course, recognition starts from Level 1 while preparing for Level 2 & Level 3.
The CFA salary also increases parallelly with the level of your job. Tabulated below is the salary of a CFA Candidate after different levels of the examination:
|Level of CFA Cleared||Average Annual CFA Salary in India (INR)|
|Level 1||3 to 5 Lacs|
|Level 2||5.5 to 7 lacs|
|Level 3||10 Lacs or Above|
Scope of CFA in India
The CFA is a generic Finance course which does not focus on any one asset class, rather it fundamentally covers every asset class on an in depth basis. It will open a wide range of possibilities about stocks, bonds, real estate, or derivatives.
CFA can be found in every industrial sector. Most CFA candidates work as Equity Analysts or in Portfolio Management, Quantitative Data Analyst, Trader, Consultant, Alternative Investments, Real Estate, Fixed Income, and Investment Management.
The scope of CFA is vast, and one can pursue a specialization in Financial modeling, Pitch Books, Valuations, and other skills which are not covered in CFA Syllabus.
These are the top firms that recruit CFA Charter holders between 1% to 6% depending on the workforce of these organizations.
|JP Morgan Chase and Co. (JPMC)||Barclays||Jefferies|
|United Bank of Scotland (UBS)||Bloomberg||Bluecrest Capital|
|Royal Bank of Scotland (RBS)||Carlyle Group||General Atlantic|
|Wells Fargo||Goldman Sachs||Bank of America|
|Citi Group||Fidelity||Merrill Lynch|
|Morgan Stanley||Deloitte, EY, KPMG, PWC||BNP Paribas|
|HDFC, Kotak Mahindra, ICICI||Standard Chartered||Bajaj Finance|
Roles offered by Top Employers
Roles are generally offered in capital markets, which are divided into different asset classes. Roles are at the entry-level as a fresher and then you can be promoted to Mid-level and Executive level as you gain years on your back. Students can also enroll in Internship opportunities with some reputed organizations to get well versed with roles offered.
Some of the crucial roles of CFAs are present below:
|Buy Side Equity Research||Trading in various asset classes|
|Research Analyst||Investment Banking|
|Portfolio Management||Accounting/ Auditing|
|Risk Management||Corporate Finance|
|Financial Advisory||Private Equity/ Venture Capital|
Scope of CFA in India
Every firm or organization needs capital to run its business and an investment banker helps to raise funds like salesmen.
They promote various valuation methods, provide recommendations for product offerings, private equity transactions, mergers, and acquisitions, and develop relationships with new and existing clients to expand the business and raise capital.
Excellent financial skills and deep knowledge are required for raising money.
A chartered financial analyst in India with a job role of an investment banker with an experience of 1-4 years can earn an average of INR 8 to 10 lakhs.
A portfolio manager is responsible for organizing the fund’s assets, developing and implementing investment strategies, and managing and controlling portfolio management activities as an active or passive manager.
They also need to have excellent research skills for their career.
They are charging the fund like a closed fund, open mutual fund, hedge fund, venture capital fund, or exchange-traded fund.
One eligible and experienced candidate can earn INR 6.50 LPA as a portfolio manager.
A risk manager analyses, manages and controls risk-related elements of their organization for calculating the potential loss.
They also manage liability programs, gather risk data, and mitigate risks as required. They also look after the risk management program and also respond to inquiries from internal and external points of contact and conduct analysis and research to resolve questions regarding processes and risk and control data.
Negotiation and diplomacy must be required for risk and hold a risk management policy,
They can earn around INR 10 LPA at their level 2 carrier.
Market Research Analyst
A market research analyst together analyses data about the demands of different products in the market. They also get recommendations from public and private sector organizations. They are hired on a freelance or consultancy basis.
A degree of CFA with their graduation degree is enough which includes the responsibilities like:
- designing questionnaires
- collecting data according to statistics and managing budgets
- monitoring data collection process
- interpreting data
- making recommendations
- managing input assistants
- carrying out interviews
They earn around INR 9.35 LPA based on their qualification.
Private banking includes jobs like banking, investment, tax management, and other financial services with clients. Private banking stresses providing more personalized financial services which are important to the clients. This practice helps the clients with higher investments.
One can earn an average of INR 7 to 8.58 LPA as a private banker.
If you are preparing for CFA exams then you can take the help of an online platform that provides good knowledge in subjects like finance, statistics, and economics.
The scope increases continuously, but it is tough to crack. So, start to prepare better.