Engineering into CFA

[Env-Consultant]

Originally posted by killramos


You want his name?

He works in our finance department, crazy smart dude.

He definitely has all three levels, and he definitely doesn't have a bachelors degree. Not sure entirely what his background is before here but hes ~30?

There's only one way to be certain he isn't pulling the wool over your eyes.... https://www.cfainstitute.org/communi...aspx#section-1

You can definitely do your CFA without a degree, as per the CFA Institute's website....

To enroll in the CFA Program and register for your first Level I exam, you must have:

One of the following:

Undergraduate education: A bachelor's (or equivalent) degree or be in the final year of your bachelor's degree program (when you register for the Level II exam, you will be required to update your education information), or

Work experience: Four years of professional work experience (does not have to be investment related), or

A combination of professional work experience and education that totals at least four years (part-time positions do not qualify, and the four-year total must be accrued prior to enrollment).

[The_Rural_Juror]

To become a Charterholder: Have four years of qualified work experience in investment decision making.

At least four years (48 months) of experience in: Evaluating or applying financial, economic, and/or statistical data as part of the investment decision-making process involving securities or similar investments (e.g., publicly traded and privately placed stocks, bonds, and mortgages and their derivatives; commodity-based derivatives and mutual funds; and other investment assets, such as real estate and commodities, if these are held as part of a diversified, securities-oriented investment portfolio). Supervising, directly or indirectly, persons who practice these activities. Teaching such activities.

[The_Rural_Juror]

oops

[killramos]

^ Yup he's on there, never said i didn't believe him I was just trying to give an example to OP. Getting 4 years of experience in that doesn't seem too out there, but OP has a degree so its not really relevant.

[The BMW Guy]

I'm on a similar path. Engineer for 3 years, landed a job as a market analyst at a trade shop. Networked to get the job, no CFA.

[dandia89]

I've been working as an Mechanical EIT within the pipeline industry (O&G) for 3ish years doing Project Management and Project Estimating and I've always been more interested in the financial aspects of how a company operates rather than how a facility was built. I enjoy both, but working at a major pipeline company, the most engaging part was the energy trading aspect between different lines.

I really don't know many people with CFA. What careers do you non-engineers have?

[Marsh]

As a finance guy, I'll shed some light on this. Especially in calgary, most of the Ibanking and Equity Research, corp banking is focused on o&G. The last two years have seen ALOT of downsizing on this side (keep in mind, Ibanks here only have 7-8 people on average) and ER teams with similar numbers. The path from engineer to ER used to be a well made one, but recently given the shitty environment here, almost no finance firm or bank is adding headcount. The only postings/openings are rare, and are usually just replacing someone who has left.

Finance is one of the most difficult areas to break into in good times. Given how shitty things are in Calgary, and keep in mind finance has very lean teams to begin with (just a few people, never seen more than 10), bringing in a unknown/experienced person is a huge commitment for them.

If your serious about it, networking is key. But its a tough nut to crack, its not something your going to get your feet in a couple weeks...expect months if not up to and over a year to break in.

Not sure about energy trading, haven't kept up with that area much lately.

[dandia89]

Thanks for the responses. Maybe I romanticized the idea that I could switch over easily. Might be a passive transition until then. From the networking I've done in person, since I made this post, people have mostly said it's an uphill battle and I should just stick to engineering, which is a little frustrating.

[Marsh]

Originally posted by dandia89
Thanks for the responses. Maybe I romanticized the idea that I could switch over easily. Might be a passive transition until then. From the networking I've done in person, since I made this post, people have mostly said it's an uphill battle and I should just stick to engineering, which is a little frustrating.

It is a competitive field to get into. But if you are seriously interested in it, its definitely worth pursuing. If it was more of just "engg is flat now, look for something else" then it may not be the best way to go. Only you can decide that though.

[The_Rural_Juror]

Don't be discouraged. If you are serious and passionate about it, worry about passing the exams first. That's what stops most people.

Non-engineer here. I am a janitor who solves marth problems while engineers look down on me.

[BrknFngrs]

Originally posted by The_Rural_Juror
Don't be discouraged. If you are serious and passionate about it, worry about passing the exams first. That's what stops most people.

Exactly this. If you're genuinely interested in the switch, CFA is a good way to start making the transition and will be good for networking as well if you make a point of interacting with others pursuing it.

[Buster]

Originally posted by BrknFngrs


Exactly this. If you're genuinely interested in the switch, CFA is a good way to start making the transition and will be good for networking as well if you make a point of interacting with others pursuing it.

It's of limited use in these circumstances.

[dandia89]

thanks a lot everyone!

[91_Integz]

I have the CFA designation and I agree with most of the advice given already. Buster has clearly outlined the pros and cons and highlighted where the designation makes sense. If you want to get into the industry sure the CFA would help but it's likely overkill to start out with.

Getting the designation is no walk in the park so I would suggest doing research on what area of finance you want to be in before dedicating 1000+ hours of study into something that may not be necessary to get to where you'd like to be.

[91_Integz]

Originally posted by Buster
For some reason, the CFA has gained a reputation as a "door opener". It's not really what it is meant to do. The CFA is a designation for people who have or are pursuing a finance career in a much narrower range than is appreciated. Outside of that, it's utility is limited, and the information isn't really "skill" based as much as just a ton of stuff you need to know.

Also, a CFA requires relevant work experience, and often benefits people who are on a particular career path and are being sponsored to do it. In short, the CFA is meant for people who are already dedicated and on a career path to be a portfolio manager, or otherwise involved in investment decisions on an institutional level. It's utility beyond that, while not absent, drops off significantly.

Also, saying "finance industry" is a bit general. Is a retail teller at a bank in "finance"? Do you want to work in the capital markets? In commercial banking? Corporate banking? Do you want to be in accounting or work for the valuations department of KPMG/MNP/EY etc?

If personal investing is your thing, do you want to go get your CSC or go work for a wealth management/ wealth advisory?

This whole CFA thing is so tired.

This is bang on

[BrknFngrs]

Originally posted by Buster


It's of limited use in these circumstances.

Why do ya say? I used it for exactly this reason (bridging into pure finance roles from a related but not directly comparable field) and it was very helpful.

[Mogg]

I'd like to bring this thread back from the dead.

Did OP do the CFA? Did you make the transition into "finance" ?

It seems many people were against engineers doing the CFA, do you still feel this way with the current economy?

thanks!

[killramos]

I feel like it’s economy agnostic. CFA is more useful for making a transition on a new career path than opening doors in a current position.

Having 2 careers is definitely better than 1 for a shady economic future.

Biggest question to ask yourself is do you love finance? If so I’m sure you will love the CFA.

[realazy]

I’m one of those engineers who realized they love finance, I’m writing Level III next June.

[Buster]

This quote is hidden because you are ignoring this member. Show Quote

I’m one of those engineers who realized they love finance, I’m writing Level III next June.

What career path did you take