Top 10 Investment Manager Certifications

Certifications are important for investment managers in the job market because they demonstrate to potential employers that the individual has attained a certain level of knowledge and skill. They also show that the individual is serious about their career and has taken the initiative to pursue additional training or education. Certifications can help set an individual apart from other candidates for a job, as employers often prefer candidates with certifications due to their increased knowledge base and specialized skills. Lastly, certifications may give an individual access to higher-level positions or opportunities that wouldn’t normally be available to them without certification.

This article reviews and explains the benefits of key certifications for Investment Managers, demonstrating how they can help advance an investment manager's career.

What are Investment Manager Certifications?

Investment manager certification is a professional designation that demonstrates mastery of the skills and knowledge necessary to be an effective investment manager. The certification is offered by various organizations, such as the Chartered Financial Analyst Institute or the Association for Investment Management and Research, and requires rigorous study and examination.

The objective of obtaining certification is to demonstrate to prospective employers and clients that the individual has a comprehensive understanding of investment management principles and practices, as well as an ability to apply them in real-world situations. Certified individuals acquire knowledge in areas such as portfolio management, financial analysis, risk management, asset allocation, tax planning and financial statement analysis.

By having a credential like this on their resume, individuals are able to differentiate themselves from other job seekers and have an advantage when applying for positions in the investment management field. Additionally, certified professionals may also be eligible for higher salaries due to their increased level of expertise. Furthermore, becoming certified can help build credibility with potential clients and give them confidence when selecting an investment manager.

In sum, obtaining certification can provide many benefits for those looking to pursue a career in investment management. It can help broaden one’s knowledge base while also providing recognition from peers and potential employers.

Pro Tip: Invest in an investment manager certification program to ensure you have the knowledge and expertise to manage your clients' investments effectively. Certification programs can provide you with the skills and resources necessary to succeed as a professional investment manager.

Related: What does an Investment Manager do?

Top 10 Investment Manager Certifications

Here’s our list of the best certifications available to Investment Managers today.

1. Chartered Financial Analyst (CFA)

The Chartered Financial Analyst (CFA) designation is a professional credential awarded by the CFA Institute, an international organization that sets standards for investment professionals. The CFA Program is a graduate-level self-study program that combines a broad base of investment knowledge with real-world skills and practical experience. It takes approximately three years to complete the program and consists of three levels of examinations: Level I, Level II, and Level III.

To become a CFA charterholder, candidates must pass all three levels of the CFA Program exams, have at least four years of qualified work experience in the investment decision-making process, and become members of the CFA Institute. Candidates must also agree to abide by the CFA Institute Code of Ethics and Standards of Professional Conduct.

The cost to take all three levels of the CFA Program exams varies depending on when you register for each exam and your location. Generally speaking, it costs around $3,000 USD to take all three exams. Additionally, there are fees associated with becoming a member of the CFA Institute and registering for each exam level.

2. Certified Investment Management Analyst (CIMA)

Certified Investment Management Analyst (CIMA) is a professional certification for financial advisors, portfolio managers, and other investment professionals. It is designed to demonstrate knowledge and expertise in the areas of asset management, portfolio construction, risk management, and performance measurement. The CIMA designation is offered by the Investments & Wealth Institute (formerly IMCA).

The CIMA program consists of three components: a self-study course, an online exam, and a Capstone project. The self-study course includes readings on topics such as asset allocation, portfolio construction, portfolio management strategies, risk management techniques, and performance measurement tools. The online exam tests knowledge in these areas. Finally, the Capstone project requires candidates to apply their knowledge to develop an investment plan for a hypothetical client.

It typically takes between 6-9 months to complete the CIMA program. During this time you will need to study for the exam and complete your Capstone project.

The cost of obtaining the CIMA designation depends on which institution you choose to take it through. Generally speaking it will cost around $3,000-$4,000 USD for tuition fees plus additional costs for textbooks and other materials.

3. Chartered Alternative Investment Analyst (CAIA)

Chartered Alternative Investment Analyst (CAIA) is an international professional designation offered by the Chartered Alternative Investment Analyst Association (CAIAA). It is designed to provide financial professionals with a comprehensive understanding of alternative investments, such as hedge funds, private equity, commodities and real estate. The CAIA program consists of two levels: Level I and Level II.

Level I: This level covers the fundamentals of alternative investments and provides a broad overview of the industry. Topics include portfolio management, risk management, legal and regulatory issues, taxation, performance measurement and more. It takes approximately four months to complete this level.

Level II: This level focuses on more advanced topics such as derivatives pricing models, structured products and quantitative analysis. It takes approximately five months to complete this level.

In order to become a Chartered Alternative Investment Analyst (CAIA), you must first pass both levels of the CAIA exam. The exams are administered twice a year in March and September at various locations worldwide.

The cost for taking the CAIA exam varies depending on your location but typically ranges from $1,000 - $2,500 USD per exam. In addition to the exam fees, there is also an annual membership fee that must be paid in order to maintain your CAIA designation which is currently set at $225 USD per year.

4. Certified Private Wealth Advisor (CPWA)

Certified Private Wealth Advisor (CPWA) is a professional certification offered by the Investment Management Consultants Association (IMCA). This certification is designed for financial advisors who specialize in providing advice to high net worth individuals, families, and institutions.

The CPWA program consists of three components: an online self-study program, an exam, and a final project. The self-study program covers topics such as financial planning, wealth management strategies, investment management principles, and risk management. The exam tests knowledge in these areas and requires the candidate to demonstrate their ability to apply this knowledge in real-world scenarios. The final project requires the candidate to create a comprehensive wealth plan that applies the concepts learned during the self-study program.

It typically takes six months to complete all three components of the CPWA program. Candidates must also have at least five years of experience working with high net worth clients before they can sit for the exam.

The cost of the CPWA program varies depending on whether you choose to take it online or in person. Online programs typically cost between $2,000-$4,000 while in-person programs range from $3,500-$7,000.

5. Chartered Investment Counselor (CIC)

Chartered Investment Counselor (CIC) is a designation given to financial advisors who have met certain educational and experience requirements. The CIC designation is offered by the Investment Management Consultants Association (IMCA), a professional organization for investment advisors.

To become a CIC, an individual must have at least three years of experience in providing investment advice, pass a comprehensive exam, and complete an ethics course. The exam covers topics such as portfolio management, financial planning, and investments. It takes approximately six months to prepare for the exam and complete the required courses.

The cost of becoming a CIC can vary depending on the individual's circumstances. Generally speaking, it costs between $1,000 and $2,000 to take the exam and complete all of the required courses. This cost includes registration fees for both the IMCA and other organizations offering relevant courses or exams.

In addition to the initial cost of becoming a CIC, individuals must also pay annual dues to maintain their status as a Chartered Investment Counselor. These dues are usually around $200 per year.

6. Accredited Investment Fiduciary (AIF)

Accredited Investment Fiduciary (AIF) is a professional designation earned by individuals who demonstrate the knowledge and expertise necessary to act as an investment fiduciary. The AIF designation is awarded by the Center for Fiduciary Studies, a division of fi360. AIFs are held to a higher standard than other financial advisors, as they must adhere to a strict code of ethics and follow best practices when making investment decisions on behalf of their clients.

The AIF designation requires completion of a comprehensive training program that covers topics such as fiduciary responsibility, investment management, legal and regulatory issues, and risk management. The program consists of two courses: Principles of Fiduciary Duty and Investment Management Theory & Practice. Upon successful completion of both courses, candidates must pass an examination in order to receive the AIF designation.

The AIF designation process typically takes between four to six months depending on how quickly the candidate completes the required courses and passes the exam. The cost for obtaining the AIF designation varies depending on which course package is chosen; however, it typically ranges from $1,500-$2,000 USD.

7. Financial Risk Manager (FRM)

Financial Risk Manager (FRM) is a professional designation given by the Global Association of Risk Professionals (GARP). It is a globally recognized certification for professionals who have expertise in managing financial risk. The FRM credential demonstrates an individual’s ability to understand, evaluate, and control financial risks.

The FRM exam consists of two parts: Part I and Part II. Both parts are offered twice a year, in May and November. To obtain the FRM designation, candidates must pass both exams within four years of each other.

To get the FRM certification, you must first register with GARP and pay the registration fee, which varies depending on your country of residence. After registering, you can select which part(s) you wish to take and purchase study materials from GARP or from other sources. You will also need to complete the online application form for each part before taking the exam.

The cost of obtaining the FRM credential varies depending on your country of residence and whether you choose to use GARP-approved study materials or opt for other sources. Generally speaking, it costs approximately $1,000 - $2,000 to become an FRM certified professional.

8. Global Association of Risk Professionals (GARP)

GARP, or the Global Association of Risk Professionals, is a professional organization that provides educational and certification programs related to risk management. GARP was founded in 1996 and is based in the United States.

GARP offers two main certifications: Financial Risk Manager (FRM) and Energy Risk Professional (ERP). The FRM certification is designed for professionals who work in the financial services industry and focuses on topics such as market risk, credit risk, operational risk, liquidity risk, and more. The ERP certification is designed for professionals who work in the energy industry and covers topics such as oil & gas pricing, energy derivatives trading, electricity markets, renewable energy investments, etc.

The FRM exam typically takes about 4-6 months to prepare for depending on your background knowledge of finance and economics. The ERP exam typically takes about 2-4 months to prepare for depending on your background knowledge of energy markets.

To get either of these certifications you must first register with GARP online by completing an application form and paying a registration fee. After registering you will be able to access study materials and practice exams which can help you prepare for the actual exam. Once you are ready to take the exam you will need to pay an additional exam fee which varies depending on your location.

The cost of getting either certification depends on several factors including registration fees, study materials purchased or rented from GARP’s website, practice exams taken online or through third-party providers, travel costs associated with taking the exam at a testing center if applicable, etc. Generally speaking though it can cost anywhere from $500-$2,000 USD to get either certification depending on how much time and resources you invest into studying for it.

9. Chartered Market Technician (CMT)

Chartered Market Technician (CMT) is a professional designation awarded by the CMT Association to individuals who demonstrate mastery of a core body of knowledge of technical analysis. The CMT program is designed to provide a comprehensive understanding of technical analysis and its application in the investment decision-making process.

The CMT program consists of three levels: Level I, Level II, and Level III. To become a Chartered Market Technician (CMT), an individual must pass all three levels of the exam.

Level I requires passing one four-hour exam with 100 multiple-choice questions; Level II requires passing two four-hour exams with 150 multiple-choice questions each; and Level III requires passing one four-hour essay exam.

The entire CMT program can take up to two years to complete, depending on how quickly you are able to study for and pass each level's exam.

To get started on the path to becoming a Chartered Market Technician (CMT), you will need to register for the program through the CMT Association website. The cost of registration varies depending on your country/region, but typically ranges from $500-$1,000 USD. This fee covers access to study materials, practice exams, and other resources needed for successful completion of the program.

10. Certified Fund Specialist (CFS)

Certified Fund Specialist (CFS) is a professional designation offered by the Institute of Business & Finance (IBF). It is designed to help financial advisors, brokers and other professionals gain a better understanding of mutual funds, exchange-traded funds, closed-end funds, money market funds and other investment vehicles. The CFS designation requires successful completion of a comprehensive course covering topics such as fund selection and analysis, portfolio construction, asset allocation, taxation and retirement planning.

It typically takes between six months to one year to complete the CFS program. To qualify for the program, applicants must have at least two years of relevant experience in the financial services industry or hold an undergraduate degree in a related field.

The cost of the CFS program varies depending on how it is taken. Self-study courses can range from $400-$1,000 while courses taken through IBF's partner schools may range from $2,000-$3,500. Additionally, there may be additional fees for textbooks and materials required for the course.

Once completed successfully, individuals will receive their CFS certification which can be used to demonstrate their knowledge and expertise in mutual fund investments.

Do You Really Need a Investment Manager Certificate?

Yes, if you are interested in becoming an investment manager, it is important to have an Investment Manager Certificate. This certificate will demonstrate to potential employers that you have the knowledge and skills necessary to manage investments responsibly and effectively. It will also help to show that you understand the complexities of the financial markets and how to make informed decisions when managing investments.

The Investment Manager Certificate is issued by a professional organization such as the Chartered Institute for Securities & Investment (CISI). The course covers topics such as portfolio management, asset allocation, risk management, economics, taxation, accounting, compliance and regulation. In order to gain the certificate, you must pass exams set by CISI which tests your knowledge on these topics.

Having an Investment Manager Certificate shows employers that you have taken the time to gain knowledge of investment management principles and have demonstrated through your studies that you can be trusted with their funds. It also demonstrates that you are committed to staying up-to-date with industry trends and developments so that your clients’ portfolios remain competitive in a constantly changing market environment.

In summary, having an Investment Manager Certificate is essential for anyone looking to become a successful investment manager. It not only proves your commitment and dedication but also provides evidence of your understanding of the financial markets and how best to manage investments for maximum returns.

Related: Investment Manager Resume Examples

FAQs About Investment Manager Certifications

Q1. What is an Investment Manager Certification?

A1. An Investment Manager Certification is a professional credential that demonstrates a person’s knowledge and expertise in the field of investment management. It is usually obtained through a certification program offered by a recognized organization such as the Chartered Financial Analyst Institute or the Association for Investment Management and Research.

Q2. What are the benefits of obtaining an Investment Manager Certification?

A2. Obtaining an Investment Manager Certification can help to demonstrate your knowledge and skills in the field of investment management, which can lead to higher salaries, more job opportunities, greater credibility with colleagues and clients, and increased respect within the industry.

Q3. How do I obtain an Investment Manager Certification?

A3. To obtain an Investment Manager Certification, you must first complete an approved certification program from one of the recognized organizations listed above. The length of time it takes to complete a certification program depends on the organization offering it, but typically ranges from six months to two years.

Q4. Is there any cost associated with obtaining an Investment Manager Certification?

A4. Yes, there may be some costs associated with obtaining an Investment Manager Certification depending on the organization offering it and which certification you choose to pursue. Generally speaking, fees for taking exams and other related costs will vary by provider so be sure to research each option thoroughly before making your decision.

Q5. How long does my Investment Manager Certification last?

A5: The duration of your certification will depend on which organization you received it from; however, most certifications are valid for three years before they must be renewed or updated through continuing education courses or exams provided by the same organization that issued it initially.