Top 10 Portfolio Manager Certifications

Certifications for a portfolio manager are important in the job market because they demonstrate to potential employers that the individual has acquired the necessary knowledge and skills to effectively manage an investment portfolio. Employers want to hire someone who is knowledgeable and experienced in managing investments, so having certifications can help demonstrate that an applicant has the qualifications for the job. Certifications also show that a portfolio manager has taken the time and effort to learn about investing strategies and principles, which can be beneficial when it comes to making decisions with clients’ funds. Additionally, certifications may give applicants access to higher-level positions in larger financial institutions.

This article reviews some of the top certifications for Portfolio Managers and explains how they can contribute to a portfolio manager's career.

What are Portfolio Manager Certifications?

Portfolio Manager Certification is a professional accreditation that recognizes the expertise and experience of portfolio managers who specialize in managing investments for clients. It is earned by passing an extensive exam that covers topics such as investment management, financial analysis, capital markets, portfolio construction, asset allocation, and risk management.

The certification helps to demonstrate a portfolio manager’s knowledge and abilities to potential employers or clients. Earning the certification can give portfolio managers an edge when seeking new job opportunities or promotions. Additionally, having this credential can help portfolio managers gain additional trust from clients who are looking for experienced professionals to manage their investments.

Furthermore, earning this certification can help portfolio managers stay up-to-date on the latest developments in investing strategies and techniques. As the global economy changes and evolves, so do the best practices for managing portfolios. By staying current with these trends and advancements in investment management, certified portfolio managers can better serve their clients’ needs and help them meet their financial goals.

Pro Tip: Make sure you research and understand the requirements for portfolio manager certification before beginning the process. Researching the specific credentials, experience, and education requirements will help you determine if you are eligible and provide you with a better understanding of what is expected from you throughout the process.

Related: What does a Portfolio Manager do?

Top 10 Portfolio Manager Certifications

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

1. Chartered Financial Analyst (CFA)

Chartered Financial Analyst (CFA) is a professional designation given by the CFA Institute, an international organization that sets standards for investment professionals. It is widely recognized as one of the most prestigious designations in the financial industry and is held by many of the top investment professionals around the world.

The CFA program consists of three levels, each of which must be completed before you can become a Chartered Financial Analyst. The entire program takes approximately two to four years to complete depending on how much time you dedicate to it.

In order to become a CFA charterholder, you must first pass all three levels of the CFA Program exams. Each level consists of multiple-choice questions and essays that test your knowledge and understanding of topics such as economics, accounting, portfolio management, ethics and more. You will need to demonstrate mastery in these areas in order to pass each exam.

The cost for taking all three levels of the CFA Program exams varies depending on where you are located and when you register for them. Generally speaking, it can range from $1,500-$2,000 USD for all three levels combined. Additionally, there are fees associated with membership in the CFA Institute and other costs related to studying for the exams.

2. Chartered Alternative Investment Analyst (CAIA)

Chartered Alternative Investment Analyst (CAIA) is a professional designation given to individuals who demonstrate expertise in alternative investments. The CAIA designation is the only credential of its kind that focuses exclusively on alternative investments and provides a comprehensive education in the field. It is offered by the Chartered Alternative Investment Analyst Association (CAIAA), an independent, non-profit organization dedicated to educating professionals in the alternative investment industry.

The CAIA program consists of two levels: Level I and Level II. Each level requires successful completion of an exam, with Level I focusing more on basic concepts and Level II focusing more on advanced topics. It typically takes between six months to one year to complete both levels, depending on how much time you have available for studying.

To get started, you must first become a member of the CAIAA by completing an application and paying an annual fee. Once your membership is approved, you can register for either level of the exam and pay an additional fee for each level. The fees vary depending on whether you are taking the exams online or at a physical testing center, but they generally range from $400-$600 per exam.

In addition to passing both exams, you must also meet certain experience requirements in order to receive your CAIA designation. To obtain the designation, applicants must have at least two years of relevant work experience in alternative investments or related fields such as asset management or financial services.

Overall, obtaining a CAIA designation can be expensive and time consuming; however it can open up many new opportunities within the alternative investment industry as well as provide recognition from peers that you are knowledgeable about this specialized area of investing.

3. Certified Portfolio Manager (CPM)

Certified Portfolio Manager (CPM) is a professional certification that recognizes individuals who have demonstrated the knowledge and skills necessary to manage investment portfolios. The CPM credential is offered by the Association for Investment Management and Research (AIMR), which is now part of the CFA Institute.

To become certified, candidates must meet certain educational and experience requirements, pass an exam, and agree to adhere to AIMR's Code of Ethics. The exam consists of three parts: Part I covers the principles of portfolio management; Part II covers asset allocation and portfolio construction; and Part III covers performance measurement.

The entire process typically takes between six months and one year. Candidates must first register with AIMR, complete their education requirements, pass the CPM Exam, submit their work experience verification form, and finally complete a comprehensive background check.

The cost for taking the CPM Exam varies depending on where you take it. In most countries, it costs around $1,000 USD to register for the exam. Additionally, there may be additional fees associated with obtaining your education requirements or completing your background check.

4. Certified Investment Management Analyst (CIMA)

Certified Investment Management Analyst (CIMA) is a professional designation awarded by the Investment Management Consultants Association (IMCA). The CIMA certification is designed to provide financial advisors, portfolio managers, and other investment professionals with an in-depth understanding of the principles of portfolio management, asset allocation, risk management, and performance measurement.

It typically takes between six months to one year to complete the CIMA program. To get certified as a CIMA professional, you must first pass a comprehensive exam that covers topics such as asset allocation, portfolio construction and management, risk management and performance measurement. You must also have three years of relevant experience in the investment industry or have completed an IMCA-approved education program.

The cost of becoming a CIMA professional varies depending on your chosen program. Generally speaking, it will cost around $2,500 for the exam fee alone. This does not include any additional fees for study materials or preparation courses.

5. Financial Risk Manager (FRM)

Financial Risk Manager (FRM) is a professional certification offered by the Global Association of Risk Professionals (GARP). It is designed to measure the knowledge and skills of professionals working in financial risk management. The FRM designation is considered the gold standard for risk management, and it provides a comprehensive education in risk management techniques and best practices.

The FRM exam consists of two parts: Part I and Part II. Both parts are four hours long, with 100 multiple-choice questions each. Candidates must pass both parts to become certified as an FRM. The exam is offered twice a year, typically in May and November.

To become an FRM, you must first register for the exam through GARP’s website. The registration fee for both parts of the exam is $800 USD (as of 2021). Additionally, you must have at least two years of relevant work experience or a master's degree in finance, economics or related fields before taking the exam.

Once registered, you will need to prepare for the exams by studying the official GARP study materials and taking practice tests. The average time it takes to prepare for the exams varies depending on your background knowledge and how much time you dedicate to studying; however, most candidates spend between three months and one year preparing for both parts of the exam.

6. Global Association of Risk Professionals (GARP)

Global Association of Risk Professionals (GARP) is a professional organization dedicated to providing risk management education, training and certification programs. GARP was founded in 1996 by a group of risk professionals who wanted to create an organization that would promote the development of risk management as a profession.

GARP offers two main certifications: Financial Risk Manager (FRM) and Energy Risk Professional (ERP). The FRM certification is designed for those who want to specialize in the financial markets, while the ERP certification is designed for those who want to specialize in energy-related risks. Both certifications require candidates to pass two exams, which are offered twice a year.

To get either certification, you must first register with GARP and pay the registration fee. Then you can purchase study materials and take practice exams before taking the actual exam. The cost of the FRM certification is $1,495 for members ($1,795 for non-members), while the cost of the ERP certification is $995 for members ($1,195 for non-members).

It usually takes around six months to prepare for either exam, but this depends on your level of experience and knowledge. Once you have passed both exams, you will receive your official certificate from GARP.

7. Chartered Investment Counselor (CIC)

Chartered Investment Counselor (CIC) is a professional designation given by the Investment Counsel Association of America (ICAA). It is a specialized credential that recognizes individuals who have achieved a high level of knowledge and experience in the field of investment counseling.

To become a Chartered Investment Counselor, candidates must meet certain educational and experience requirements. They must have at least a bachelor's degree from an accredited college or university, as well as four years of professional experience in investment counseling or related areas such as financial planning, portfolio management, or securities analysis. Candidates must also pass the CIC Examination administered by the ICAA.

The CIC Exam consists of two parts: Part I covers topics such as ethics, legal issues, taxation, and financial analysis; Part II covers topics such as portfolio management strategies, risk management techniques, and investment products. The exam is offered twice per year in April and October. The exam fee is $395 for members of the ICAA and $495 for non-members.

Once candidates have passed the CIC Exam, they are eligible to apply for the Chartered Investment Counselor designation. To be approved for this designation, applicants must submit their credentials to the ICAA for review. Upon approval, applicants will receive their CIC certificate and may use the CIC designation after their name on business cards and other materials.

8. Chartered Wealth Manager (CWM)

Chartered Wealth Manager (CWM) is a professional designation for financial advisors and wealth managers who have achieved a certain level of experience, education, and knowledge in the field. The CWM designation is issued by the Chartered Institute for Securities & Investment (CISI) in the United Kingdom.

To become a Chartered Wealth Manager, one must first complete the CISI's Chartered Wealth Manager qualifications. This involves completing three levels of study: Level 4 Certificate in Private Client Investment Advice and Management; Level 6 Diploma in Wealth Management; and Level 7 Advanced Diploma in International Wealth Management. Each level requires passing an exam at the end of each course.

The entire process usually takes between two to three years to complete depending on how quickly one completes each course. It can take longer if someone has to retake any exams or if they take longer than expected to finish the courses.

To get started with becoming a Chartered Wealth Manager, one must first register with the CISI as a student member and then pay for their chosen qualifications. The cost of each qualification varies depending on which route you choose but typically ranges from £2,500 - £4,000 per qualification.

Once all three qualifications are completed successfully and all exams are passed, applicants will be eligible to apply for the CWM designation from CISI. Upon successful application, applicants will receive their CWM certificate which they can use to demonstrate their professional credentials to clients or employers.

9. Certified International Wealth Manager (CIWM)

Certified International Wealth Manager (CIWM) is a professional certification program designed to prepare individuals for the global wealth management industry. It is offered by the Institute of Certified International Wealth Managers (ICIWM). The CIWM program is designed to provide professionals with the knowledge and skills necessary to become successful international wealth managers.

The CIWM program consists of three levels: Level I, Level II, and Level III. Each level requires a minimum of 150 hours of study and completion of an exam. The exams are administered by ICIWM and are available in both English and Spanish.

Level I covers basic concepts such as financial planning, asset allocation, risk management, taxation, estate planning, retirement planning, investment strategies, portfolio management, trust services, and more. Level II focuses on advanced topics such as international wealth management strategies and techniques. Finally, Level III covers specialized topics such as international tax planning and offshore investments.

It typically takes between six months to one year to complete all three levels of the CIWM program depending on how much time you have available to dedicate to your studies.

To get started with the CIWM program you will need to register with ICIWM online or by mail. Once registered you will receive access to the online learning materials which include textbooks, practice exams, webinars and other resources needed for completing the coursework required for each level of the program.

The cost for registering for the CIWM program varies depending on which level you choose to pursue but typically ranges from $1,000 - $2,500 USD per level plus any applicable taxes or fees.

10. Certified Fund Specialist (CFS).

Certified Fund Specialist (CFS) is a professional designation conferred by the Institute of Business & Finance (IBF). The CFS program is designed to provide financial professionals with a comprehensive and in-depth understanding of mutual funds, exchange-traded funds, money market funds, and other investment products. It also covers topics such as portfolio management, retirement planning, estate planning, insurance planning, and more.

The CFS program consists of three courses: Fundamentals of Investment Planning; Advanced Investment Strategies; and Portfolio Management. Each course requires approximately 20 hours of study time. Upon successful completion of all three courses, candidates are eligible to take the CFS exam.

The CFS exam is administered by IBF and consists of multiple-choice questions covering the topics studied in the three courses. Candidates must pass the exam with a score of 70% or higher in order to earn the CFS designation.

The cost for the entire CFS program varies depending on which provider you choose to take it from. Generally speaking, it can range anywhere from $1,000 - $2,500 USD for all three courses and the exam fee combined.

Do You Really Need a Portfolio Manager Certificate?

The short answer is, it depends. A portfolio manager certificate may or may not be necessary for a career in portfolio management, depending on the specific job requirements and an individual’s professional background. For those looking to break into the field of portfolio management, obtaining a portfolio manager certificate can help demonstrate their knowledge and skills related to financial analysis and portfolio construction. It can also provide recognition from industry organizations and demonstrate to potential employers that an individual has taken the initiative to gain additional qualifications in their chosen field.

For those already working in the field of portfolio management, a certificate may not be necessary if they have sufficient experience and knowledge related to financial analysis and portfolio construction. However, it is important to remember that regulations and best practices are constantly changing in the finance industry, so having a current certificate could be beneficial for staying up-to-date with new developments. Additionally, obtaining a certification can also open up opportunities for advancing one’s career within the industry.

Ultimately, whether or not someone needs a portfolio manager certificate will depend on their individual situation and goals. It is important to do research on the particular job requirements as well as any relevant certifications available in order to make an informed decision about what qualifications are needed for success in this field.

Related: Portfolio Manager Resume Examples

FAQs About Portfolio Manager Certifications

1. What are the requirements for portfolio manager certification?

Answer: In order to receive portfolio manager certification, applicants must have a bachelor’s degree in finance or a related field, at least three years of relevant professional experience in portfolio management, and must pass the Chartered Financial Analyst (CFA) exam.

2. How long does it take to become certified?

Answer: The time required to become certified depends on the individual's educational background, experience level and study habits. Generally, it takes between three and five years of studying and working towards the CFA exam before becoming certified as a portfolio manager.

3. What types of roles can I hold with a portfolio manager certification?

Answer: With a portfolio manager certification you can pursue roles such as an analyst, financial advisor, mutual fund manager, hedge fund manager, private equity investor or venture capital investor.

4. Are there any continuing education requirements?

Answer: Yes, once you are certified as a portfolio manager you must complete 30 hours of continuing education every two years in order to maintain your certification status. This includes taking courses or attending seminars on topics such as investment strategies and risk management techniques.

5. Is there an age limit for getting certified?

Answer: No, there is no age limit for getting certified as a portfolio manager; however, applicants should have at least three years of relevant experience in the field in order to qualify for the CFA exam and subsequent certification process.