CFP vs CMA – Which Credential to Pick? Each choice that you make in your career takes you nearer to your dreams. Since the right choice is so important for your future, it is better to study and research properly to come at the right decision. Hasty decision may waste your precious time and efforts and can also cost you your dream. We understand this so let us help you to make the right career choice. Read on to know about two very crucial courses for financial professionals that could help give them the right direction to their career.
The article is articulated in this order:
- CFP vs CMA Infographics
- What is Certified Financial Planner (CFP)?
- What is Certified Management Accountant (CMA)?
- CFP vs CMA Educational Requirements
- Why pursue CFP?
- Why pursue CMA?
CFP vs CMA Infographics
Reading time : 90 seconds
Lets understand the difference between these two streams with the help of this CFP vs CMA Infographics.
What is Certified Financial Planner (CFP)?
CFP or Certified Financial Planner is a certificate course for financial planners who are looking to specialize in the strategic financial planning or advisory role in the financial services industry. The certificate is conferred upon by the Certified Financial Planner Board of Standards (CFP Board) in the United States and by its affiliated body FPBS in India. CFP is a mark of excellence, recognized and respected worldwide by the financial professionals. The course is designed to meet the stringent standards of education, examination, experience and ethics to ensure that the individuals certified win the trust of employees and have plethora of opportunities waiting for them after completing the course.
What is Certified Management Accountant (CMA)?
The Certified Management Accountant is a professional certification in the field of financial management and advanced accounting that qualifies a professional to mete out responsibility related to the arena which are highly respected by employers around the world. A CMA acquires knowledge and skills in financial planning, analysis, control, decision support, and professional ethics. The CMA certification is awarded by the U.S based Institute of the Management Accountants. The CMA certified professionals are eligible to work in industries like manufacturing and services, public and private enterprises, not-for-profit organizations, academic institutions, government entities, and MNCs.
CFP vs CMA Educational Requirements
|The candidates must fulfill the 4E criteria to be certified as a CFP.
The minimum eligibility criterion for the CFP course is a graduate or bachelor’s degree or higher degree with a working knowledge of the financial planning practices prevalent in the industry.
|A candidate requires a bachelor’s degree from any accredited universities across the globe in any discipline to be deemed qualified for the CMA exam.|
Why Pursue CFP?
CFP is the highest level of certification for a professional aiming to carve a niche in the financial industry and is appreciated worldwide by professionals as well as consumers. The certificate has been awarded the Gold Standard Award by the Wall Street Journals which speaks volume of its credibility. The CFP candidates are remunerated with attractive salaries in industries such as investments, insurance, tax, retirement & real estate.
Why pursue CMA?
CMA is a globally recognized and accepted certification in the corporate world and is extremely relevant for a professional who wants to attain success in the business environment. The certified program’s visibility is increasing and is a most preferred choice to boost career prospects by professionals not only from the US but also China and the Middle East. A CMA certified candidate is eligible for higher positions in the company. The relevancy of the certified courses can be determined by the structure of its course and the practical lessons it imparts. The CMA curriculum is designed specifically to mirror real world applications which are in practice in the financial and accounting sector. And lastly the very obvious reason CMA designation holders are paid 30% more than their non-certified colleagues.
You may also read this complete guide on CMA exams for further details.
Research is extremely important considering the time and cost involved in pursuing these certification courses. It is better than to be sure of the career goals and the career boosts that you are most likely to achieve before jumping in and registering yourself for the exam.