New education programme aims to address skills gap among investment professionals.
The CFA Institute, the global association for investment professionals, is introducing a global qualification to help members integrate ESG factors into investment management processes.
Originally created by the CFA Society of the UK, the Certificate in ESG Investing will now be made available in financial hubs globally.
According to the CFA Institute, the new education programme “aims to strengthen market integrity by delivering the benchmark knowledge and skills required by investment professionals to integrate ESG factors into the investment process”.
A recent CFA Institute survey identified a growing skills gap, as more investment professionals reported having to take ESG factors into consideration, while relatively few said they had the necessary skills and training. Asset owners have also identified a lack of relevant skills among asset managers as a barrier to implementation of their sustainable investment policies.
The certificate is recognised by the UN Principles for Responsible Investment and was launched in the UK in September 2019.
It is designed for practitioners responsible for analysing and integrating material ESG factors into investment analysis on a daily basis, and is open to investment professionals in functions including sales and distribution, wealth management, product development, financial advice, consulting and risk. Candidates must complete approximately 130 hours of study before taking the exam.
“We are seeing a real acceleration of interest in ESG investing – a major development that will shape the future of finance – while increased demand from clients and investment management firms has fuelled the need for education,” said Margaret Franklin, CFA, president and CEO of CFA Institute.