Lester Freeman
The Certified Investment Management Analyst (CIMA) is a prestigious certification for investment professionals. The CIMA curriculum and exam focus on the application of a balance of theory and practical knowledge to provide insightful guidance, portfolio construction, portfolio management, and risk management for individual and institutional clients. The CIMA designation provides advisors, consultants, and analysts with the tools to go beyond investment fundamentals. Candidates must have at least three years of financial services experience and a record of ethical conduct, determined by the Investments & Wealth Institute Admissions Committee. The CIMA certification process includes an executive education course and a closed-book, proctored final certification exam, which can be taken online or in person.
| Characteristics | Values |
|---|---|
| Name of Certification | Certified Investment Management Analyst (CIMA) |
| Who is it for? | Investment advisors, investment consultants, financial advisors, financial planners, asset and wealth managers, and financial services professionals |
| Prerequisites | 3 years of financial services experience and a record of ethical conduct |
| Training Requirements | Executive education course through an approved registered education provider |
| Exam Type | Closed book, proctored final certification exam, online or in person |
| Continuing Education Requirements | 40 hours every two years |
| Topics Covered | Statistics, Economics, Time Value of Money, Ethics and Regulation, Performance Measurement and Analysis, Traditional and Alternative Investments, Portfolio Theory and Models, Investment Consulting Process, etc. |
| Benefits | Provides advisors with the tools to go beyond investment fundamentals, helps retain high-net-worth clients, and leads to higher earnings and larger client accounts |
What You'll Learn
Practical and theoretical knowledge
The Certified Investment Management Analyst® (CIMA®) certification is a qualification for investment professionals. The CIMA® curriculum and exam test the ability to apply a balance of theory and practical knowledge in providing insightful guidance, portfolio construction, portfolio management, and risk management for individual and institutional clients.
The CIMA® designation provides advisors, consultants and analysts with the tools to go beyond investment fundamentals. The program integrates practical knowledge with investment theory, with deep dives into advanced portfolio construction, accounting and risk management.
The CIMA® program is designed to deliver a systematic process to put this sophisticated knowledge into action, differentiating services, solutions and outcomes. It covers topics such as ethics and regulation, financial fundamentals, performance measurement and analysis, traditional and alternative investments, portfolio theory and models, and the investment consulting process.
The CIMA® certification is offered by the Investments & Wealth Institute® and can be obtained through executive education courses provided by registered education providers such as Yale School of Management and the University of Chicago Booth School of Business. The program is designed for intermediate to advanced professionals in the field of investment and requires prior knowledge of statistics, economics, time-value-of-money, and investment principles.
The CIMA® certification process involves applying to an education provider, completing an executive education program, passing the CIMA® certification exam, and fulfilling any additional requirements. Candidates must have at least three years of financial services experience and a record of ethical conduct, as determined by the Investments & Wealth Institute Admissions Committee. The certification exam is proctored and can be taken online or in person. It consists of multiple-choice questions that test knowledge and skills at various levels, including recall, application, and analysis.
Investing Young: My Journey to 300k Before 30
You may want to see also
Portfolio construction
The CIMA certification provides advisors, consultants, and analysts with the tools to go beyond the fundamentals of investment and deepen their understanding of advanced portfolio construction techniques. It integrates practical knowledge with investment theory, including deep dives into portfolio construction, accounting, and risk management.
The program offers a systematic process to put this sophisticated knowledge into action, differentiating services, solutions, and outcomes. It equips professionals with the skills and expertise to serve clients more effectively and grow their businesses.
The CIMA certification exam is proctored and can be taken online or in person. It covers various topics related to portfolio construction, including:
- Portfolio theories and models
- Behavioral finance theory
- Investment consulting process
- Client discovery and investment policy statements
- Investment implementation approaches
- Manager search, selection, and monitoring
- Portfolio review and revisions
The exam questions are designed to evaluate the candidate's knowledge and skills at various levels, including recall, application, and analysis. It is important to note that the CIMA certification process is rigorous and demands a strong commitment to learning and understanding the complex world of investment thought and application.
Emergency Savings: Where to Invest for Peace of Mind
You may want to see also
Risk management
The CIMA certification integrates practical knowledge with investment theory, including deep dives into advanced portfolio construction, accounting, and risk management. This integration ensures that candidates can apply their knowledge to real-world situations and provide insightful guidance to their clients.
One of the key aspects of risk management covered in the CIMA certification is the ability to identify, measure, and manage investment risk. Candidates learn to evaluate the potential risks associated with different types of investments and how to make informed decisions to mitigate those risks. This includes understanding the impact of risk on portfolio performance and how to balance risk and return to meet their clients' investment goals.
Additionally, the CIMA certification covers the topic of risk concepts and measurement. This includes learning about different types of risk, such as market risk, credit risk, and liquidity risk, and how to quantify and assess these risks. Candidates also gain knowledge of risk management strategies and how to incorporate them into the investment process.
The CIMA certification also emphasizes the importance of ongoing risk management and monitoring. Candidates learn how to establish a formal review and revisions process to ensure that investment portfolios remain aligned with their clients' risk tolerance and investment objectives over time. This includes performing regular risk assessments, evaluating the performance of investments, and making adjustments as necessary to maintain a well-balanced portfolio that manages risk effectively.
Overall, the CIMA certification provides a comprehensive understanding of risk management in the context of investment management. By completing the certification, candidates gain the knowledge and skills to identify, assess, and manage risk effectively, enabling them to make informed investment decisions and provide valuable guidance to their clients.
Savings-Investment Spending Identity: Lessons for the Economy
You may want to see also
Investment theory
The CIMA® curriculum and exam focus on the application of a balance between theory and practical knowledge to provide insightful guidance, portfolio construction, portfolio management, and risk management for individual and institutional clients. The program covers various topics, including statistics and methods, applied finance and economics, global capital markets, alternative investments, and options, futures, and other derivatives.
One of the key benefits of the CIMA® certification is that it provides a systematic process to put sophisticated knowledge into action, differentiating services, solutions, and outcomes. This means that CIMA® holders can offer their clients advanced investment strategies and solutions that are based on a strong theoretical foundation.
The Investment Management Theory and Practice course offered by the Yale School of Management is a comprehensive and convenient path to CIMA® certification. The course covers various topics, including portfolio theory and behavioural finance, traditional and alternative investments, and performance measurement and analysis. It is designed to help candidates better understand the complex world of investment thought and application.
Overall, the CIMA® certification is a rigorous program that equips professionals with the knowledge and skills to provide sophisticated investment advice and services to high-net-worth clients. By integrating practical skills with investment theory, CIMA® holders can differentiate themselves in the market and build more successful practices.
ETFs: Smart Short-Term Investment Strategy for Savings?
You may want to see also
Exam preparation
The Certified Investment Management Analyst (CIMA) certification exam is a proctored, closed-book exam that can be taken online or in person. It is a rigorous assessment that covers a broad range of topics in the field of investment management. To prepare for the exam, candidates should be familiar with the CIMA curriculum and have a strong understanding of the core topics and learning objectives.
The exam consists of multiple-choice questions that test your knowledge and skills at various levels. There are recall questions, application questions, and analysis questions. Recall questions focus on your ability to remember specific facts, generalizations, theories, and principles. Application questions require you to apply your knowledge to different situations, while analysis questions test your ability to synthesise information and make effective decisions.
To prepare for the exam, it is recommended to allow for a dedicated study period and to make use of the available resources. The Yale School of Management offers a comprehensive online CIMA course that includes study materials, video lectures, and practice questions designed to help candidates prepare for and pass the certification exam. This course covers topics such as ethics and regulation, financial fundamentals, performance measurement and analysis, traditional and alternative investments, and portfolio theory and models.
In addition to the Yale course, there are other exam preparation resources available, such as guided review, self-study guides, and practice exams offered by the Investments & Wealth Institute. Candidates should also ensure they meet the qualification requirements, which include having at least three years of financial services experience and a satisfactory record of ethical conduct, as determined by the Investments & Wealth Institute Admissions Committee.
The CIMA certification is widely recognised and can provide a significant advantage for investment professionals. By integrating practical skills with sophisticated investment knowledge, CIMA holders are well-equipped to meet the needs of sophisticated investors and build successful practices.
Private Savings: Excluding Investments for a Secure Future
You may want to see also
Frequently asked questions
The CIMA certification is a qualification for financial services professionals that combines theoretical and practical expertise.
CIMA-certified professionals report higher earnings and larger client accounts than holders of other designations. According to a 2017 survey by the Investments & Wealth Institute, over 60 percent of CIMA-certified professionals said the certification had a positive impact on their knowledge and confidence advising high-net-worth clients and on their ability to manage their investments.
Candidates must have at least three years of financial services experience and a satisfactory record of ethical conduct, as determined by the Investments & Wealth Institute Admissions Committee. The certification process also includes an executive education course and a final certification exam.
The CIMA certification exam covers a range of topics, including statistics and methods, applied finance and economics, global capital markets, alternative investments, portfolio theory and construction, performance analysis, risk management, and client management.
