Any job in finance needs some specialised knowledge, or at least specialised training. However, a leadership role in finance requires deep domain knowledge. What role does certifications play here?
“In India, certified finance professionals earn about 20% more than their non-certified counterparts, reflecting their enhanced expertise and market value. Additionally, Indian data scientists, benefiting from specialised certifications, can earn 1.7x to 2x times more than data engineers. These figures underscore the significant impact of professional certifications in the financial sector,” says Nirupama VG, Founder, AdAstra Consultants.
What kind of financial certifications help?
Chartered accountant (CA), chartered financial analyst (CFA) and certified management accountant (CMA) are essential for senior roles in the dynamic financial market. They not only demonstrate expertise in finance and leadership but also set standards in governance and risk management.
Nirupama says these are the key certifications for career growth in finance.
The Financial Planning Standards Board (FPSB) says certifications are a testament to the expertise and commitment of senior finance professionals to uphold the highest standards of financial planning and advisory services. CFP certification, in particular, equips professionals with a comprehensive skill set, encompassing financial planning, investment strategies, retirement planning, and risk management.
Experts say the training and continuing education required for CFP certification ensures that senior finance professionals stay abreast of industry trends and best practices.
The FPSB says CFP credential equips leaders with a comprehensive understanding of financial principles. Some senior roles that need such a certification are:
- Chief Financial Officers
- Finance Directors
- Chief Executive Officers
- Chief Investment Officer
- Portfolio Managers
- Private Banker
- Estate Planner
- Wealth Manager
- Investment Advisor
- Financial Manager
- Paraplanner
- Bank Manager
- Fund Accountant
- Chief Financial Planning Officer
In sectors where stakeholders demand transparency and ethical financial practices, having certified leaders adds credibility and trust to the company. More than just a skill enhancer, CFP equips individuals to navigate various financial landscapes.“A McKinsey report highlights that finance organisations with professional financial expertise have reduced costs by an average of 29%, showcasing the tangible impact of these qualifications. For senior financial roles in India, these certifications are crucial not just as educational credentials, but as key drivers of professional development and career success,” adds Nirupama.
