2,408 Candidates Receive First Claritas® Investment Certificate: CFA Institute

CFA Institute, the global association of investment professionals, announces today that 2,408 participants have successfully completed and passed the Claritas® Investment Certificate. The Claritas certificate provides a thorough understanding of how the investment industry works, and the knowledge that candidates have acquired will help to shape a more trustworthy financial industry by setting a new international education and ethics standard.

Participants from 70 companies in 50 countries took part in the Claritas pilot program, with candidates sitting the examination in March and April 2013. Since then a full review and standard setting process has been undertaken to evaluate the results and set the passing score for the pilot and future sittings of the examination. From July onwards, candidates who sit the examination will now be able to leave the test center with a preliminary result and receive their official result within a few days after the examination.

The profile of candidates who took part in the pilot ranged across operations, administration, IT, HR, marketing, sales, compliance, and customer service. Candidates worked within asset management firms, commercial and investment banks, insurance companies, data and media businesses, and professional services organizations. (A list of some of the companies that participated in the pilot can be seen here.) 82% of the Claritas certificate candidates passed the first exam. Of the candidates who took part in the pilot survey:

• 85% reported they would recommend the program to others
• 76% said they had benefitted by increasing their industry knowledge
• 64% said that the program helped them to better understand their ethical obligations within the financial services industry.

John Rogers, CFA, president and CEO of CFA Institute, commented: “The industry’s enthusiastic response to the Claritas program is a true indicator of the need to provide accessible education for those experts who surround investment decision makers every day. The commitment and accomplishment of these 2,408 individuals confirms that raising educational excellence is essential in shaping the future of finance.”

John Bowman, managing director and co-lead of Education at CFA Institute, echoed Rogers’ congratulations: “CFA Institute developed the Claritas certificate in response to the financial crisis, and as part of a global call to action for industry participants to play their part in addressing the overall lack of trust in financial services. With the large majority of our pilot partners recommending deeper implementation of Claritas in their firms across a diversity of roles, businesses and geographical and cultural backgrounds, we are confident we have met that challenge. These candidates and their supporting pilot partner firms should be proud to stand as pioneers in their sector.”

Global registrations for the Claritas Investment Certificate launched on 20 May 2013. Those who are interested can learn more and register at www.cfainstitute.org/claritas.

About the Claritas® Investment Certificate

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Open to all. The Claritas Investment Certificate is for all professional disciplines in the financial services industry outside of investment roles. From client services to compliance; from human resources to IT and operations; from marketing and sales to legal. It is designed for the many different people in the financial services industry who are not directly involved in analysing or making investment decisions. Participants do not need to meet any education or experience requirements to study for the Claritas certificate.

With the Claritas Investment Certificate, learners can study online in their own time. In around 80 to 100 hours of study over an expected 3 to 6 month period, they should gain a clear understanding of all the essentials. Registration is open to corporates and individuals and available in English. It is currently available in 106 countries and over 450 test centers worldwide. The name is taken from the Latin for clarity, and everything about the Claritas certificate — from online support to the look and feel – has been designed to be as clear as possible for participants.

The Claritas course of study (PDF) is made up of seven modules, covering fundamentals of the investment industry, ethics and regulation, tools and inputs, investment instruments, industry structure and controls, and client needs. The self-scheduled, online exam comprises 120 multiple choice questions, which are designed to give a clear indication of the participant’s understanding of some of the most fundamental issues in the investment industry. Questions may focus on, for example, the distinction between credit default swaps and forward contracts, how to define “fiduciary” versus “suitability” standards of care, or how to handle a particular ethical dilemma.

Claritas® Investment Certificate and the CFA® Program

Whereas the Claritas certificate program is designed to reach everyone in the investment industry who helpsenable investment decision making – from client services to operations, compliance and legal, from human resources to sales and marketing – the CFA Program is intended for those who are directly involved in the investment decision-making process.

The CFA Program is a globally recognised, graduate level curriculum that provides a strong foundation of real-world investment analysis and portfolio management skills along with the practical knowledge you need in today’s investment industry. It also emphasises the highest ethical and professional standards.