Financial certification indicates the level of expertise in a specific area of finance. It is typically earned by passing a rigorous examination and meeting other requirements, such as educational and work experience qualifications.
Financial certifications can cover various areas within finance, such as financial planning, accounting, investment management, risk management and others.
Some examples of popular financial certifications include the Masters of Business Administration (MBA) in Finance, Chartered Accountancy (CA), Cost and Management Accountancy (CMA), Company Secretaryship (CS), Actuary, Chartered Financial Analyst (CFA), Certified Financial Planner (CFP), Economics, Statistics, Chartered Alternate Investment Analyst (CAIA), Financial Risk Management, Financial Modelling and Investment Banking programmes.
Earning an IIM Financial services certification course can demonstrate a professional's knowledge, skills and credibility to potential employers and clients. It may also lead to career advancement opportunities and higher earning potential.
Capital market and its need
A capital market is a financial marketplace where individuals, companies and governments buy and sell long-term financial instruments such as stocks, bonds and other securities. Capital markets facilitate the flow of capital from investors with surplus funds to those needing capital for long-term investments, such as companies or governments.
Capital markets can be divided into two types: primary markets and secondary markets.
In the primary market, newly issued securities are sold for the first time through an initial public offering (IPO). In this market, companies can raise capital by issuing new stocks or bonds, and investors can buy these new securities.
In the secondary market, existing securities are bought and sold among investors. In this market, securities are traded on stock exchanges or over-the-counter markets, and the price of securities is determined through supply and demand.
Capital markets are important for economic growth because they allow companies and governments to access long-term financing. They also offer investors an opportunity to invest in long-term securities and receive a return. The capital market is closely monitored by regulatory bodies to ensure transparency, fairness and stability.
A detailed knowledge of capital markets is essential if you want a career in finance. All finance programmes cover capital markets in their curriculum.
Ten benefits of a financial certification
A financial certificate can go a long way in landing the desired finance job. Here’s how it can add value:
- Increased credibility: Earning a financial certification indicates that you have met rigorous education and experience requirements enhancing your professional credibility.
- Higher earning potential: Employers highly value financial certifications, which can result in higher salaries, bonuses and other financial incentives.
- Career advancement: A financial certification can open doors to career advancement opportunities, such as promotions, leadership roles and higher-level positions.
- Specialised knowledge: Each financial certification focuses on a specific area of finance, providing you with specialised knowledge and expertise, putting you ahead of others in the field.
- Improved job performance: The knowledge and skills gained from a financial certification can enhance your job performance, making you more effective in your role and providing greater value to your organisation.
- Continuing education opportunities: Maintaining a financial certification requires ongoing education, which can keep you up-to-date on the latest developments in your field.
- Professional networking: Financial certifications provide opportunities for professional networking with other certified professionals, which can lead to new career opportunities, mentorship and knowledge sharing.
- Career flexibility: It can provide transferable skills that can be applied to various roles and industries, providing greater career flexibility.
- Increased client trust: Financial certifications can give clients confidence in your knowledge and expertise, leading to stronger client relationships and increased business.
- Personal satisfaction: Earning a certificate can be personally satisfying and can provide a sense of accomplishment and pride in your professional achievements.
Future of financial certification
The future of financial certification is likely to be influenced by several factors, including technological advances, changing regulatory requirements and shifts in industry trends.
One trend likely to continue is the increased use of technology in financial certification programs. This could include using online learning platforms, AI and virtual reality to create more engaging and interactive learning experiences for candidates.
Another important factor is the evolving regulatory landscape. As financial regulations evolve and become more complex, an increased demand for professionals with specialised knowledge and certification in compliance, risk management and cybersecurity will likely be seen.
In addition, as the financial industry becomes more globalised, there may be a growing need for standardised certification programs, recognised and valued across different countries and regions.
Overall, the future of financial certification is likely characterised by a greater emphasis on specialised knowledge and skills, and more flexible and innovative approaches to learning and credentialing.
The IIM financial services certification courses are highly regarded in the industry and provide participants with a strong foundation in financial management that can help them advance their careers in this field.
Imarticus Learning offers a comprehensive course for a better understanding of capital markets in collaboration with IIM Lucknow.
Advance your financial services and capital markets career with the IIM Lucknow capital market certification course.