What is the difference between CFA and MBA in finance?

Let me make an attempt to share the differences as under: MBA (finance): It’s a 2 years of full-time course, with an internship project ranging from 4 to 6 month. The course covers various aspects of business areas with apt coverage of other areas like HR, accounts, marketing, operations, supply chain, technology and sales. The degree gives a broad based knowledge on the holistic concept of managing / running of any business. In the 2nd year, more focus is on the financial aspects of business. Such a qualification would give you a career into an organization in areas like sales, marketing, accounts, corporate finance, consulting, finance, investment banking, etc. Chartered Financial Analyst (CFA): It’s a 3 level exam. Wherein, a student has to clear three levels to become a charter holder of the CFA Institute. It provides specialised skills in areas like investment analysis, portfolio strategy and asset allocation. It’s a highly specialised course. It is recognised globally and is a mandatory certification in many countries for roles in portfolio management domain. • It operates on a self-study model, wherein exams are held every 6 months, so a bright candidate can clear all levels of CFA in 18 months or so. • A generic career paths for a CFA charter is of being a research analysts/portfolio managers. • A CFA is cheaper to MBA in terms of course fees/financial investment. • Clearing CFA is more challenging compared to MBA (finance). • As a general trend, a qualified CFA draws more compensation than a MBA (finance). • Globally, CFA is more recognised / preferred qualification for careers in investment management than MBA (finance).

2 Upvotes 2 Upvotes 0 Downvotes

• • Report Abuse
• Comment

Due to the program partnerships between business schools and the CFA Institute, there is now an efficient means for investment professionals to obtain both a graduate business degree and a CFA. Whereas it used to be adequate to obtain one or the other, this trend and the number of new investment professionals acquiring both graduate degrees and the CFA may ultimately require professionals to obtain both. Where the commitment was once two years of graduate school and four years of self study, now candidates that choose a partnering institution can perform a majority of the CFA commitment within their graduate school course work. Although it will still require an immense amount of commitment and discipline, an increasing number of institutions allow investment professionals to gain both breadth and depth of knowledge for all the investment management disciplines.

0 Upvotes 0 Upvotes 0 Downvotes

• • Report Abuse
• Comment

Dear Yash, Finance is one of the specializations in MBA and CFA is a financial accounting certification course. The contents in CFA might be more detailed. All the best.

0 Upvotes 0 Upvotes 0 Downvotes 1 Comment

• • Report Abuse
• Comment