Earning a professional designation can provide multiple benefits for your career as a financial advisor. A well-designed educational program will increase your knowledge, which can help you serve clients more effectively. Having a professional designation can also boost your credibility with clients and prospects, which in turn can assist with business development.
There is a veritable alphabet soup of financial services designations available. Some state securities and insurance regulators do not allow financial professionals to use a designation — in particular a "senior" designation — unless it has been accredited by either the ANSI National Accreditation Board (ANAB) (a subsidiary of the American National Standards Institute) or the National Commission for Certifying Agencies (NCCA).
Here's a list of accredited designations and several others that are widely recognized:
Designations Accredited by ANAB
Accredited Investment Fiduciary (AIF)
Governing organization: Center for Fiduciary Studies
Purpose: Provide investment professionals with fiduciary knowledge and tools
Prerequisites: Candidate must meet a point-based threshold based on a combination of education, relevant industry experience and/or professional development.
Study formats: Online, virtual or blended
Cost: Online: $1,595; Blended and virtual: $1,950
Continuing education requirement: 6 hours per year
Number of designees: 11,000+
Certified Investment Management Analyst (CIMA)
Governing organization: Investments & Wealth Institute
Purpose: Certified Investment Management Analyst® (CIMA®) is a professional certification for financial advisors and investment consultants in advanced portfolio construction.
Prerequisites: Candidate must have three years of financial services experience and a satisfactory record of ethical conduct, as determined by Investments & Wealth Institute Admissions Committee.
Study formats: Online self-paced, or weekly virtual sessions lasting approx. 3.5 months
Cost: $4,500 online, or $4,950 weekly virtual sessions
Continuing education requirement: 40 hours every two years
Number of designees: 8,500+
Certified Senior Advisor (CSA)
Governing organization: Society of Certified Senior Advisors (Also accredited by the NCCA)
Purpose: Certified Senior Advisors (CSAs) apply multidisciplinary knowledge of the aging process and aging issues to identify the most appropriate options and solutions for seniors' individual needs and best interests to improve their lives.
Prerequisites: Candidate information profile; disclosure questionnaire; comprehensive background check; submit signed CSA application for certification; agree to abide by and uphold the CSA Code of Professional Responsibility
Study formats: Online, live virtual or in-person options. Exam-only option available.
Cost: Exam-only option: $395; course materials: $400. Online plus exam: $1,190; in-person or virtual class plus exam: $1,290
Continuing education requirement: 30 CSA CE credits every three years
Number of designees: 2,800
Certified Private Wealth Advisor (CPWA)
Governing organization: Investments & Wealth Institute
Purpose: CPWA certification is an advanced professional certification for advisors who serve high-net-worth clients.
Prerequisites: Bachelor's degree from an accredited college or university or one of the following designations or licenses: CIMA, CIMC, CFA, CFP, ChFC or CPA license; a satisfactory record of ethical conduct, as determined by IMCA's Admissions Committee; and five years of professional client-centered experience in financial services or a related industry
Study formats: 100% virtual, or 90% virtual/10% in-person
Cost: $7,295, either option
Continuing education requirement: 40 hours every two years
Number of designees: 1,400+
Designations Accredited by NCCA
Accredited Financial Counselor (AFC)
Governing organization: Association for Financial Counseling and Planning Education
Purpose: Provide the knowledge and experience to help individuals and families build a strong financial foundation, realize their goals and achieve lasting financial well-being.
Prerequisites: 1,000 hours of financial counseling experience and submit three letters of reference attesting to professional competence and experience
Study formats: Self-paced study; financial education challenge; professional designation challenge; university program; distance learning program
Cost: Self-paced study ($1,455 – $2,130); financial education challenge ($830 – $1,855); professional designation challenge ($,1130 – $1,805); university program ($780); distance learning program ($780)
Continuing education requirement: 30 hours every two years
Number of designees: 3,000+
Certified Financial Planner (CFP)
Governing organization: Certified Financial Planner Board of Standards Inc.
Purpose: CFP professionals meet rigorous education, training and ethical standards, and are committed to serving their clients' best interests today to prepare them for a more secure tomorrow.
Prerequisites: A bachelor's degree (or higher) from an accredited college or university, and three years of full-time personal financial planning experience or the equivalent part-time experience (2,000 hours equals one year full-time)
Study formats: Self-paced; virtual; blended
Cost: Tuition varies with education provider. Exam rates: Standard registration rate is $925. An early bird rate of $825 is available until six weeks before the registration deadline, and a late registration rate of $1,025 applies during the final two weeks of registration
Continuing education requirement: 30 hours every two years, including two hours of ethics
