The Investment Management Consultants Association (IMCA) today introduced a revised Certified Investment Management Analyst (CIMA) exam for 2014. The changes reflect the most essential skills and knowledge needed for in an investment advisor, based on findings from a recent job analysis.
More than 750 retail and institutional advisors in the U.S., Canada, and Australia completed the job analysis that was conducted by Applied Measurement Professional. A job analysis is a necessary process for certification bodies to develop and enforce objective, fair and legally defensible standards for a profession.
Advisors responding to the job analysis identified several areas of practice that are more important than in the past, resulting in the following changes to the 2014 CIMA exam and education programs:
• Portfolio risk management – As markets remain volatile and client objectives shift toward preservation, a significant percentage of the exam will focus on portfolio performance, risk measurements and portfolio risk management strategies.
• Alternative investments – Expanded coverage of alternative investments and more sophisticated tools and strategies are included in these changes.
• Investment consulting process – This represents the largest knowledge and skill area of CIMA certification, and is now a better organized client-centered process.
• Portfolio theory and behavioral finance – A wide-ranging set of expanded topics within behavioral finance theory will be covered by the new exams.
• Governance – In addition to adherence to IMCA’s Code of Professional Responsibility, advisors must be able to demonstrate applied knowledge of the fiduciary responsibilities for all types of clients: individuals, trusts, foundations, endowments and Erisa plan clients.
The five-step CIMA certification process remains the same. The changes do not impact current CIMA professionals, other than expanding some topics for continuing education credits.
In 2011, IMCA’s CIMA certification earned accreditation by the American National Standards Institute and is currently the only financial services credential in the U.S. to meet this international standard for personnel certification.
IMCA is a nonprofit professional association and credentialing organization with more than 9,000 individual members. IMCA members collectively manage more than $1.9 trillion, providing investment consulting and wealth management services to individual and institutional clients.