CFA vs CAIA | Top 10 Differences to Learn with Infographics

Difference Between CFA vs CAIA

CFA is the short form used for Chartered Financial Analyst whereas CAIA is the short form used for Chartered Alternative Investment Analyst. CFA institute organizes the CFA course whereas the Chartered Alternative Investment Analyst Association organizes the CAIA course. CFA vs CAIA in this, a CFA course can be qualified in three levels whereas a CAIA course is qualified on two levels. CFA course focuses on subjects like ethical and professional standards, asset valuation, investment tools, as well as portfolio management and wealth planning.

On the other hand, the CAIA program focuses on subjects like qualitative analysis, indexation and benchmarking, and trading theories of alternative investments. A CFA can apply for the role of a portfolio manager, financial adviser, consultant, chief executive, corporate financial analyst, risk manager, relationship manager, and research analyst whereas a CAIA can apply for the title of analysts at private equity funds or hedge funds, investment consultant, investment advisor, portfolio manager, and investment manager.

Head to Head Comparison Between CFA vs CAIA (Infographics)

Below are the Top 10 Differences CFA vs CAIA:

Key Differences Between CFA vs CAIA

The key differences between a CFA and a CAIA course are enlisted and discussed in details below:

CFA stands for Chartered Financial Analyst whereas CAIA stands for Chartered Alternative Investment Analyst.
A CFA course is organized by the CFA Institute (formerly known as AIMR) whereas a CAIA course is organized by the Chartered Alternative Investment Analyst Association.
A CFA can apply for the job titles of risk manager, financial advisor, portfolio manager, research analyst and consultant whereas a CAIA can apply for the job titles of an investment analyst, investment advisor, investment consultant, portfolio manager, and investment manager.
A CFA course can be qualified in three levels namely Level 1, Level 2 and Level 3 whereas a CAIA course can be qualified into two levels namely Level 1 and Level 2.
A CFA course offers aspirants to gain knowledge and expertise in subjects like investment tools, derivatives, economics, equity valuation, corporate finance, fixed income, asset valuation, portfolio management and wealth planning, financial reporting, and analysis as well as ethical and professional standards. A CAIA course offers aspirants to gain knowledge and expertise in subjects like qualitative analysis, real assets, trading theories of alternative investments, indexation and benchmarking, hedge funds, private equity, risk and portfolio management, structured products as well as professional standards and ethics.

CFA vs CAIA Comparison Table

Let’s discuss the top comparison between CFA vs CAIA:

Basis of comparison	CFA	CAIA
Full-Form	CFA is the abbreviation used for Chartered Financial Analyst.	CAIA is the abbreviation used for Chartered Alternative Investment Analyst.
Institute that Organizes this Course	CFA is offered and organized by the CFA Institute. CFA Institute is an American institute formerly known as AIMR (Association for Investment Management and Research.	CAIA is offered and organized by the Chartered Alternative Investment Analyst Association.
Career Opportunities	A CFA can make his or her career as a: Risk Manager Portfolio Manager Financial Advisor Consultant Research Analyst	A CAIA can make his or career as an: Investment Analyst Investment Advisor Investment Consultant Portfolio Manager Investment Manager
Levels of Exam	A CFA exam can be qualified in three levels. These levels are segregated into Level 1, Level 2 and Level 3.	A CAIA exam can be qualified on two levels. These levels are segregated into Level 1 and Level 2.
Subjects	CFA course focuses on subjects like: Investment tools Equity valuation Economics Derivatives Corporate finance Fixed income Financial Reporting and Analysis Ethical and Professional Standards Portfolio Management and Wealth Planning Asset Valuation	CAIA course focuses on subjects like: Qualitative Analysis Indexation and benchmarking Trading theories of alternative investments Real Assets Hedge funds Private equity Structured products Professional standards and ethics Risk and portfolio management
Qualification	An aspirant can pursue the CFA course only if he or she has a bachelor’s degree or is in the final year of the same or has a minimum professional experience of at least 4 years.	An aspirant can pursue the CAIA course if he has procured a bachelor’s degree and has a professional experience of at least a year.
Time is taken for course completion	A CFA course takes a longer time to complete as compared to a CAIA course.	A CAIA course takes a shorter span of time to complete as compared to a CFA course.
Topics Covered	CFA program covers topics like financial analysis, bonds, stocks, derivatives, investment, and portfolio management and even covers significant areas of finance.	CAIA course covers topics that are associated with analyzing, applying and standards of practice in the area of alternative investments that include various forms of real assets such as real estate, intangible assets, natural resources, infrastructure, commodities, etc, private equity, hedge funds, and structured items such as credit derivatives, and collateralized debt obligations.
Passing Marks	The passing marks required for qualifying each level of CFA exam are: Level 1- 43 percent Level 2- 47 percent Level 3- 54 percent	The passing marks required for qualifying each level of CAIA exam are: Level 1- 60 percent Level 2- 57 percent
Minimum study hours Recommended	CFA Institute recommends a minimum study of three hundred hours for an aspirant to qualify each level of the program.	CAIA Institute recommends a minimum study of two hundred hours for an aspirant to qualify each level of the program.

Conclusion

A CFA course may take a longer duration to complete in comparison to a CAIA program. CFA course covers topics like stocks, derivatives, financial analysis, investment and portfolio management, bonds and even covers legitimate areas of finance.

On the other hand, a CAIA course covers topics pertaining to the due analysis, application and standards of practice in the areas of alternative investment that comprise of various range of real assets such as real estate, natural resources, intangible assets, infrastructure, commodities, etc, private equity, hedge funds, and structured items such as credit derivatives, and collateralized debt obligations.

CFA course recommends the candidates to devote at least 300 hours of study time to prepare for each level of the CFA exams whereas a CAIA course recommends its candidates to devote at least 200 hours of study time to prepare for each level of CAIA exams.

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