I was asked the other day, “How many financial advisors are there in the US, and what percentage of them have the CFA designation?”
It was a good question that I didn’t know the answer to, so I started looking around the web and found this from the Bureau of Labor Statistics:
Number of Personal Financial Advisors (2012): 223,400
And on the CFA Institute website, CFA members and charterholders held the following occupations:
Portfolio Manager: 22%
Research Analyst: 15%
Chief-Level Executive: 7%
Risk Manager: 5%
Corporate Financial Analyst: 5%
Relationship Manager: 5%
Financial Advisor: 5%
So doing some very rough math:
According to the website referenced above, there are over 123,000 CFA Institute members worldwide, of which 94% are CFA charterholders. That leaves about 115,620 with the CFA designation.
Now based on the geographic distribution of CFA Institute members, 65% of them are in North America, so 65% of 115,620 leaves us with 75,153 in North America with the charter. If 5% of those are financial advisors, that leaves us with 3,757. The website doesn’t break it down any further than just North America, so you’ll have to guess what percentage of the 3,757 are in the US.
If you bend it as much as you can and say they are all in the US, then 3757 out of 223,400 (yes, the years are imprecise), you get about 1.7% of financial advisors in the US with the CFA designation. The number could be less, it could be more, but that’s the rough math.
(Posted July 22, 2015)
Rainier Trinidad, CFA
San Diego and Coronado’s Fiduciary Financial Advisor
Parabolic Asset Management
206 J Avenue
Coronado, CA 92118
Investment Risk Disclaimers: (i) Investments involve risk and are not guaranteed to appreciate, and (ii) Past performance is no guarantee of future results.