The Chartered Financial Analyst (CFA) Institute is the organization that provides CFA certification to professionals in the financial services sector. In addition to offering a CFA certification program, the CFA Institute offers professional programs related to environmental, social, and governance (ESG) investing, Certificate in Investment Performance Measurement (CIPM), and Investment Foundation programs. The Institute also engages in research. In 2021, the CFA Institute conducted two survey studies exploring practitioner sentiments regarding the industry after the health crises and investor perspectives on establishing ESG platforms. The organization tapped into the collective consciousness of prospective industry professionals to learn how students and new graduates felt about entering the industry after the economic downturn. The survey focused on 15,000 students from 15 markets between the ages of 18 and 25 and revealed that many have a positive outlook on the industry even in an economy still in recovery. According to the CFA Institute study, students and graduates still found careers in finance attractive, ranking it one of the top five majors for a career. The survey also found that students and graduates in the finance and accounting fields felt more confident than their parents regarding their career prospects, with 80 percent of students believing they have more opportunities.

1. Christopher Bonavico

2. The Chartered Financial Analyst (CFA) Institute is the organization that
provides CFA certification to professionals in the financial services sector.
In addition to offering a CFA certification program, the CFA Institute offers
professional programs related to environmental, social, and governance
(ESG) investing, Certificate in Investment Performance Measurement
(CIPM), and Investment Foundation programs. The Institute also
engages in research.

3. In 2021, the CFA Institute conducted two survey studies exploring
practitioner sentiments regarding the industry after the health crises and
investor perspectives on establishing ESG platforms. The organization
tapped into the collective consciousness of prospective industry
professionals to learn how students and new graduates felt about
entering the industry after the economic downturn. The survey focused
on 15,000 students from 15 markets between the ages of 18 and 25 and
revealed that many have a positive outlook on the industry even in an
economy still in recovery.

4. According to the CFA Institute study, students and graduates still found
careers in finance attractive, ranking it one of the top five majors for a
career. The survey also found that students and graduates in the finance
and accounting fields felt more confident than their parents regarding
their career prospects, with 80 percent of students believing they have
more opportunities.

5. The survey also revealed that this population was also uneasy about
entering the finance sector. Despite this confidence, 46 percent of the
graduates reported reassessing their career paths due to low pay,
shortages of jobs, and unfulfilling or dull work.

6. Some of the students and graduates expressed doubts regarding
developing work-related skills, with 25 percent reporting feeling
underqualified for their chosen job and 22 percent reporting they were
not ready for the work world. At the same time, they also acknowledged
the need for education beyond the undergraduate degree. In the current
job market, 87 percent of students and graduates felt that further
education (upskilling) is important, 57 percent believed post-graduate
certification or qualifications would give them the competitive edge, and
47 percent decided to prolong their studies.

7. Making a positive impact on the world is also a concern for students and
graduates. While only eight percent of this population report that working
in investment management can make a positive impact, 87 percent state
that making an environmental contribution is integral to choosing
employment.

8. The CFA addressed a related issue, ESG, in survey results published in
a December 2021 press release. The survey received 710 responses
from the 30,000 surveys sent out to investment professionals. The
survey questioned investment professionals on whether they believed it
was their duty to integrate ESG principles into analysis and decision-
making and whether there was a need for government-backed
regulations for establishing ESG reporting for companies.

9. According to the CFA Institute survey, investment professionals reported
that financial materiality was more important. Still, clients and their
managers should ultimately decide whether ESG is a part of decision-
making and analysis. At the same time, however, they felt ESG should
not be regulated.

10. Additionally, respondents reported that the industry should address
greenwashing but should do so by establishing clear and consistent
rules. Incidentally, greenwashing occurs when a business advertises that
they are engaging in green practices when it is not necessarily true.

11. While they did not favor regulators establishing ESG standards,
respondents reported that standards should be applied to ESG reporting.
However, there should be a moratorium on reporting standards until
formal rules are established.