Program Overview

About the CFA Institute University Affiliation Program

The University of Canterbury (UC)'s Bachelor of Commerce major in Finance and Master of Business major in Financial Management have been acknowledged as incorporating at least 70 percent of the CFA Program Candidate Body of Knowledge (CBOK) and as placing emphasis on the CFA Institute Code of Ethics and Standards of Practice within the programme.

Program Details

These programmes position students to obtain the Chartered Financial Analyst® designation, which has become the most respected and recognised investment credential in the world.

• The BCom, majoring in Finance, and MBus majoring in Financial Management, provide students with a strong foundation in corporate finance, financial markets and institutions, and investment analysis.
• These programmes cover a wide variety of challenging topics included in the CFA Exam Level I, Level II and Level III curricula.
• Students are well prepared and encouraged to sit for the CFA exam Level I by the time they graduate from UC.
• Since 2011, most UC-sponsored students passed the CFA Exam Level I on the first try.

Mapping Guide for CFA Exam Level 1 Topics

The following mapping guide includes the CFA Exam Level I topics covered within the Bachelor of Commerce major in Finance program.

Quantitative Methods

1. Time Value of Money: FINC201
2. Probability: STAT101
3. Probability Distributions and Descriptive Statistics: STAT101
4. Sampling and Estimation: STAT101
5. Hypothesis Testing: STAT101
6. Correlation Analysis and Regression: STAT101

Economics

1. Market Forces of Supply and Demand: ECON104, ECON105
2. The Firm and Industry Organization: ECON104, ECON105
3. Measuring National Income and Growth: ECON104, ECON105
4. Business Cycles: ECON104, ECON105
5. The Monetary System: ECON104, ECON105
6. Inflation: ECON104, ECON105
7. International Trade and Capital Flows: FINC344
8. Currency Exchange Rates: FINC344
9. Monetary and Fiscal Policy: ECON105

Financial Reporting and Analysis

1. Financial Reporting System (IFRS and GAAP): ACCT102, FINC308
2. Principal Financial Statements: FINC308
3. Financial Reporting Quality: FINC308
4. Analysis of Debt: FINC308, FINC316

Corporate Finance

1. Corporate Governance: FINC301
2. Dividend Policy: FINC301
3. Capital Investment Decisions: FINC301, FINC302
4. Business and Financial Risk: FINC201
5. Long-Term Financial Policy: FINC301
6. Short-Term Financial Policy: FINC301
7. Mergers and Acquisitions and Corporate Restructuring: FINC301

Equity Investments

1. Types of Equity Securities and their Characteristics: FINC311
2. Equity Markets: Characteristics, Institutions, and Benchmarks: FINC203, FINC311
3. Fundamental Analysis (Sector, Industry, Company) and the Valuation of Individual Equity Securities: FINC311
4. Equity Market Valuation and Return Analysis: FINC311
5. Special Applications of Fundamental Analysis (Residual Earnings): FINC311, FINC302

Fixed Income

1. Types of Fixed Income Securities and their Characteristics: FINC201, FINC203, FINC316
2. Fixed Income Markets: Characteristics, Institutions, and Benchmarks: FINC203, FINC316
3. Fixed Income Valuation (Sector, Industry, Company) and Return Analysis: FINC306
4. Term Structure Determination and Yield Spreads: FINC203, FINC316, FINC312
5. Analysis of Interest Rate Risk: FINC203, FINC316
6. Analysis of Credit Risk: FINC316

Derivatives

1. Types of Derivative Instruments and their Characteristics: FINC312
2. Forward Markets and Instruments: FINC203, FINC312
3. Futures Markets and Instruments: FINC203, FINC312
4. Options Markets and Instruments: FINC203, FINC312
5. Swaps Markets and Instruments: FINC203, FINC312
6. Credit Derivatives Markets and Instruments: FINC316, FINC312

Alternative Investments

1. Types of Alternative Investments and their Characteristics: FINC101
2. Real Estate: FINC101
3. Private Equity/Venture Capital: FINC311
4. Hedge Funds: FINC311
5. Commodities: FINC312

Portfolio Management and Wealth Planning

1. Portfolio Concepts: FINC311, FINC331
2. Management of Individual/Family Investor Portfolios: FINC311, FINC331

CFA Examinations and Scholarships

In each U.S. academic year (ending on 31 August), the Department of Economics and Finance can nominate up to three students and Dr Huong Dieu Dang, CFA can nominate up to three students to receive scholarships to take the CFA Exams.

• There is a slight increase for CFA Program scholarships from US$350 to US$400.
• This aligns with an increase in CFA Program registration fees for exams administered in 2024.

Application for Scholarship

To apply for a scholarship:

• Requirement: You need to submit a one-page cover letter and your CV on the CFA platform.
• Your cover letter should address the following two questions:
  • How well have you prepared for the exam? You should include a specific study plan.
  • How would the scholarship and the exam help you achieve your professional goals?
• In your cover letter, you must indicate your planned exam time.
• You should include a one-page study plan at the end of your application.
• You must combine your documents in one (and only one) pdf file.

CFA Program Computer-Based Testing

• Computer-based scheduling enables CFA Institute to retire single-day test administration in favor of more convenient, socially distant computer-based test administration.
• Doing this offers options for candidates around the globe by increasing the number of exam administrations for every level, providing multi-day exam windows to eliminate the practice of all candidates sitting in a single day, and a broader footprint of test areas to improve flexibility.
• Along with Level I, the Level II and Level III CFA exams will shift from paper-based to computer-based testing starting in 2021.

Practical Skills Module

Beginning with the February 2024 exam, the CFA Program has been expanded to include practical, relevant skills training to provide candidates with on-the-job application of what you are learning in the curriculum, otherwise known as Practical Skills Modules (PSMs).

• In addition to completing the exam, candidates will be required to complete one PSM at each level in order to receive your exam result.
• Available in 2024, the modules include:
  • Financial Modeling: Empower students to construct financial models in Excel, crucial for valuation and analysis.
  • Python Programming Fundamentals: Introduce Python's finance applications and data science tools.
  • Analyst Skills: Equip students with insights applicable in financial roles.
  • Python, Data Science & AI: Introduce data science, machine learning, and Python's financial data analysis.

Updates to Standards of Professional Conduct

The CFA Institute Board of Governors adopted the following changes to the Standards of Professional Conduct:

• Within Standard I: Professionalism, the Board approved a new standard requiring members to act with and maintain the competence necessary to fulfill their professional responsibilities, so reinforcing the principle set forth in the Code of Ethics.
• Within Standard V: Investment Analysis, Recommendations, and Actions, the Board revised Standard V(B) Communication with Clients and Prospective Clients, to require disclosures about the nature of the services provided by members and candidates and the costs to the client associated with those services.
• Within Standard VI Conflicts of Interest, the Board renamed Standard VI(A) "Avoid or Disclose Conflicts" and revised the standard to require members and candidates to either avoid conflicts of interest or disclose those conflicts.

Specialised Pathways

Specialised pathways will be introduced at Level III beginning in 2025.

• A common core of study will exist for all three pathways at Level III, and candidates will be able to choose one of three job-role focused pathways:
  1. Portfolio Management (the traditional version of Level III)
  2. Private Wealth
  3. Private Markets
• All three pathways will be equally rigorous and in pursuit of one credential: the CFA charter.