Guide to UK Financial Services Qualifications

Transcription

1 Guide to UK Financial Services Qualifications September 2010

2 1 INDEX Summary Banking Investment banking Asset / fund management Insurance Capital markets List of institutes... 14

3 2 Summary GUIDE TO UK FINANCIAL SERVICES QUALIFICATIONS FOR INDIA This summary document provides a guide to UK financial services qualifications and training bodies that offer internationally recognised qualifications and certifications within key sectors of the financial services industry. This follows a study undertaken by the City Office in Mumbai to investigate the skills issues affecting financial services firms in India and to identify areas where UK qualifications can be matched to these gaps. In order to identify the technical skills gaps within the Indian financial services sector, data was collected through a survey, interviews with selected senior executives and desk research. Participating organisations represented the banking, investment banking, insurance, capital markets and asset/fund management sectors. The findings from the study indicate that for the banking sector, the key technical skills gaps are within treasury management and private banking. Within the investment banking sector, the requirement is for qualified and experienced mergers and acquisitions (M&A) and project finance professionals. In the insurance sector, companies face a shortage of technically qualified actuaries, underwriters, risk managers and new insurance product developers. The results for the capital markets sector highlight the need for well trained and certified equity analysts, financial planners, traders and advisors. Finally for asset/fund management companies, the key challenge is finding suitably qualified and skilled fund managers, portfolio managers and investment advisors. The guide provides a snapshot of the technical skills gaps in India and matches them with UK based financial services qualifications and training institutions. The type of course being offered (short term, Certificate, Diploma or Advanced Diploma/ MSc) is usually contained within the course title. Where this is not the case, the type will be indicated in brackets following the title. Most of the qualifications listed are offered as online programmes. For further information, the institutions mentioned in this guide are listed at the back, along with a short description and their website addresses.

4 3 Banking UK FINANCIAL SERVICES QUALIFICA ALIFICATIONS AND TRAINING TO FILL THE IDENTIFIED SKILLS GAPS Banking is the most established sector within the Indian financial services industry, with a strong presence of private and foreign banks alongside public sector banks. However, participants in our research expressed concerns over the skills of those employed in the industry. The technical skills felt to be lacking are identified below and categorised within four distinct areas of banking: wholesale banking, retail banking, private banking and treasury. Organisations specialising in investment banking highlighted a different set of concerns to their colleagues working in other areas of banking. Investment banking is therefore dealt with separately. Figure 1: Technical skills gap - Banking Retail Trade Forex Fund based products Banking Wholesale Private Microfinance Credit Risk Product (Cash & trade) Investment banking Taxation aspect of wealth management Product knowledge Risk assessment Treasury Forex Derivatives

5 4 Course Provider Skills Applied Diploma in Corporate The ifs School of Finance private knowledge (private) Banking product - cash & trade (wholesale) Certificate in Dealing Association Cambiste Internationale derivatives (treasury) forex (treasury) Certificate in Derivatives Chartered Institute for Securities derivatives (treasury) forex (treasury) Certificate in Financial The ifs School of Finance risk (wholesale) Market and Risks Certificate in Financial Services The Chartered Institute of trade (retail) Bankers in Scotland forex (retail) fund based products (retail) Certificate in Financial Studies The ifs School of Finance risk assessment (private) Certificate in International Cash Association of Corporate Treasurers derivatives (treasury) Management (CertICM) forex (treasury) Certificate in International Association of Corporate Treasurers derivatives (treasury) Treasury Management forex (treasury) Certificate in International Treasury Association of Corporate Treasurers derivatives (treasury) Management Public Finance (and the Chartered Institute of Public forex (treasury) Finance & Accountancy) Introduction to Securities & Chartered Institute for Securities trade (retail) Investment - International forex (retail) (Certificate) Certificate in Investment Chartered Institute for Securities fund based (retail) Administration products product knowledge (private) Certificate in Islamic Finance Chartered Institute for credit (wholesale) Securities Certificate in Operations Association Cambiste Internationale derivatives (treasury) forex (treasury) Certificate in Personal Finance The ifs School of Finance taxation aspect of wealth management (private) Certificate in Risk Management Association of Corporate Treasurers risk (wholesale) Certificate in Risk Management Institute of Risk Management risk (wholesale) CISI Level 3 Certificate in Investment Chartered Institute for product -cash& trade (wholesale) Securities derivatives (treasury) Diploma in Compliance British Bankers Association risk (wholesale) Diploma in International ACCA trade (retail) Financial Reporting forex (retail) microfinance (wholesale) credit (wholesale) product cash & trade (wholesale) taxation aspect of wealth (private) risk assessment, (private) derivatives (treasury) forex (treasury)

6 5 Course Provider Skills Diploma in Operational Risk The Chartered Institute of risk (wholesale) Bankers in Scotland Forecasting Exchange Rates London Metropolitan University forex (treasury) (short course) International Certificate in Chartered Institute for Securities forex (treasury) Financial Advice International Certificate in Chartered Institute for Securities taxation aspect in wealth Wealth Management management (private) MA in International Banking London Metropolitan University trade (retail) Microfinance (short course) University of Manchester microfinance (wholesale) Modelling Market and Credit Risks London Metropolitan University risk (wholesale) (short course) MSc Corporate Treasury London Metropolitan University forex (treasury) Management derivatives (treasury) MSc in International Banking London Metropolitan University trade (retail) and Finance forex (retail) fund based products (retail) MSc in Investment Fund London Metropolitan University taxation aspect of wealth (private) Management product knowledge (private) risk assessment (private) Professional Certificate in Banking The ifs School of Finance private banking retail banking wholesale banking treasury Risk in Financial Services Chartered Institute for Securities risk (wholesale) (Certificate) Understanding Foreign Exchange London Metropolitan University forex (retail & treasury) (short course)

7 6 Investment banking Those interviewed in the Indian investment banking sector identified skills gaps as existing in the following areas: corporate advice, equity analysis, issues/ipos, mergers & acquisitions (M&A) and project finance. Figure 2: Technical skills gap Inves estment banking Corporate Advice Equity analysis Investment banking Issues / IPOs Mergers & acquisition (M&A) Project finance

8 7 Course Provider Skills Certificate in Corporate Finance Chartered Institute for Securities issues/ipos Certificate in International Chartered Institute for Securities project finance Investment Administration equity analysis M&A Issues/IPOs corporate advice Certificate in Islamic Finance Chartered Institute for Securities equity analysis Certificate in Securities Chartered Institute for Securities project finance Certificate in Securities & Chartered Institute for Securities project finance Financial Derivatives CISI Diploma Chartered Institute for Securities project finance Corporate Finance and Funding Association of Corporate Treasurers equity analysis Paper (Certificate) M&A Corporate Finance Qualification Institute of Chartered Accountants M&A (Certificate) in England and Wales Diploma in International Financial ACCA M&A Reporting project finance International Introduction to Chartered Institute for Securities corporate advice Investment (Certificate) MSc in Banking and Cass Business School project finance International Finance MSc in Investment Management Cass Business School issues/ipos equity analysis M&A corporate advice Private Equity (short course) London Business School equity analysis

9 8 Asset/fund management The skills gaps identified by asset/fund management firms in India relate to fund managers, portfolio managers and investment advisors. The main skills gaps were identified as: product knowledge, familiarisation with products and financial data services and understanding client needs and how to structure advice. Figure 3: Technical skills gap Asset/ set/ fund management Fund management Product knowledge (familiarization with financial data services) Asset/fund management Portfolio management Product management Investment advisor Understanding client needs and structuring advise Business acumen

10 9 Course Provider Skills Certificate in Derivatives Chartered Institute for Securities understanding client needs and how to structure advice (investment advisors) Certificate in Financial The Chartered Insurance Institute familiarisation with products and Administration financial data services (fund managers) Certificate in Financial Association of Corporate Treasurers product knowledge Mathematics and Modelling (portfolio managers) Certificate in Investment Chartered Institute for Securities product knowledge Administration (portfolio managers) Certificate in Investment Chartered Institute for Securities understanding client needs and Management how to structure advice (investment advisors) Certificate in Securities & Chartered Institute for Securities understanding client needs and Financial Derivatives how to structure advice (investment advisors) CISI Diploma Chartered Institute for Securities familiarisation with products and financial data services (fund managers) product knowledge (portfolio managers) understanding client needs and how to structure advice (investment advisors) CISI Level 3 Certificate in Chartered Institute for Securities familiarisation with products and Investment Management financial data services (fund managers) Corporate Finance Qualification Institute of Chartered Accountants understanding client needs and (diploma & advanced diploma) in England and Wales how to structure advice (investment advisors) International Certificate in Chartered Institute for Securities understanding client needs and Financial Advice how to structure advice (investment advisors) Introduction to Financial Markets London Metropolitan University familiarisation with products and (short course) how to structure advice (fund managers) Investment Management The CFA Society of the UK product knowledge (Certificate) (portfolio managers) Investment Management London Business School familiarisation with products and (short course) how to structure advice (fund managers) MSc in Investment Fund London Metropolitan University familiarisation with products and Management how to structure advice (fund managers) The Investment Management CFA Society of the UK understanding client needs and Certificate how to structure advice (investment advisors)

11 10 Insurance The opening up of the insurance industry has led to a vast increase in the number of actors employed in the sector, but according to participants in the research, a number of fundamental skills gaps remain. The growth of the industry and introduction of more complex products into the marketplace has made the necessity to address technical skills gaps more important than ever. Organisations from the industry expressed concern over professionals displaying poor communication skills and a lack of product knowledge. The skills gaps were categorised for insurance agents, underwriters, actuaries, assessors, product developers, risk managers and financial planners. Figure 4: Technical skills gap Insuranc ance Insurance agents Communication Selling abilities Underwriters Knowledge of insurance Actuaries Actuarial and business knowledge of insurance products and pricing Insurance Risk management Business knowledge of insurance Financial planning Communication & influencing Product developers Business knowledge of insurance products & pricing Probing skills Assessors Knowledge of life insurance industry

12 11 Course Provider Skills Advanced Diploma in Insurance Chartered Insurance Institute actuarial and business knowledge (actuaries) knowledge of products & pricing (product developers) Applied Diploma in Risk and ifs School of Finance business knowledge Insurance (risk managers) Award in Financial Planning Chartered Insurance Institute communication & selling abilities (Certificate & Diploma) (agents) communication & influencing skills (financial planners) Certificate in Risk Management Institute of Risk Management business knowledge (risk managers) Diploma in Actuarial Techniques The Actuarial Profession actuarial and business knowledge (actuaries) Diploma in Insurance Chartered Insurance Institute knowledge of insurance industry (underwriters) knowledge of life insurance industry (assessors) probing skills (product developers) International Certificate in Chartered Insurance Institute knowledge of insurance industry Financial Advice (underwriters) International Introduction to Chartered Institute of Securities communication & selling abilities Investment (Certificate) and Insurance (agents) MSc in Insurance and Chartered Insurance Institute business knowledge Risk Management (risk managers) MSc/Diploma in Actuarial Cass Business School actuarial and business knowledge Management (actuaries) Personal Financial Planning ifs School of Finance influencing & selling (Certificate) abilities(financial planners) Risk Management Paper Association of Corporate Treasurers business knowledge (Certificate) (risk managers)

13 12 Capital markets Since the economic reforms of the early 1990s, India s capital markets have grown and modernised with falling transaction costs, greater transparency and an efficient market infrastructure. However, firms participating in the research emphasised that they continue to have difficulty in finding skilled workers. Respondents reported a lack of skills in the areas of equity analysis and research, trading/ broking, financial planning agents (FPA) skills and advisory skills. Figure 5: Technical skills gap Capital markets Equity Analyst / Researcher Capital markets Trader / Broker FPA (Financial Planning Agent) Advisor

14 13 Course Provider Skills Award in Financial Planning Chartered Insurance Institute FPA skills (Certificate & Diploma) Certificate in Derivatives Chartered Institute of Securities advisory skills Certificate in Financial Planning ifs School of Finance FPA skills advisory skills Certificate in Islamic Finance Chartered Institute of Securities trading/ broking Certificate in Private Client Chartered Institute for Securities advisory skills Investment Advice and Management Certificate in Securities Chartered Institute of Securities FPA skills Certificate in Securities and Chartered Institute of Securities advisory skills Financial Derivatives CISI Diploma Chartered Institute of Securities advisory skills Corporate Finance and Funding Association of Corporate Treasurers equity analysis & research Paper (Certificate) International Certificate in Chartered Institute of Securities FPA skills Financial Advice advisory skills Introduction to Equity Markets London Metropolitan University equity analysis & research (short course) Introduction to Financial Markets London Metropolitan University trading/ broking (short course) Introduction to Securities & Chartered Institute of Securities equity analysis & research Investment - International (Certificate) MSc in Financial Markets London Metropolitan University equity analysis & research and Derivatives

15 14 Institutions and Course Providers Links and Further Information ACCA CA ACCA provides qualifications aimed at finance professionals from a variety of sectors including the corporate sector and financial services. The Foundations in Financial Management examination within the Foundations in Accountancy suite of qualifications provide a standalone qualification covering credit control and debt management. The ACCA qualification contains specialised examinations in finance, personal and business taxation and a specialist paper which contains a major section on risk management. Website - Associa sociation Cambiste Interna ernationale (ACI) ACI is a leading, global association of wholesale financial market professionals, contributing to development through education & certification, encouraging market practices (The Model Code), providing technical advice and networking events. Although the association is headquartered in France, a wide number of ACI qualifications are available through ACI UK and the qualifications are recognised by the FSA and internationally. Website - Associa sociation of Corpor orporate Treasur easurers ers (ACT) ACT provides qualifications, training and events. It also publishes highly respected treasury knowledge resources and advises and comments on developments and best practice in treasury, risk management and corporate finance. Website - British Bankers Associa sociation The BBA is the voice of the banking industry for all banks that operate within the UK. Website - Cass s Business s School Cass Business School is one of Europe s leading providers of business and management education, consultancy and research. The business school is part of the City University London, which prides itself on its strong links with leading professional institutions and with business and industry, in both the UK and overseas. Website - London Business s School The London Business School is a graduate school of the University of London, which is consistently ranked amongst the top business schools in the world. Its Executive Education and Finance programmes provide personal development opportunities for senior executives who want to further their functional, technical and general management skills. Website - London Metropolitan University London Metropolitan University is one of the foremost providers of undergraduate, postgraduate, professional and vocational education and training in Britain. Website - The Actuarial Prof ofes ession sion The Actuarial Profession represents members of the Institute of Actuaries in England & Wales and the Faculty of Actuaries in Scotland and regulates those members for the benefit of the outside world. The Institute and Faculty of Actuaries is the chartered professional body for actuaries in the UK. Website - The CFA Society of the UK (formerly ormerly,, UK Society of Inves estment Prof ofes essionals sionals) The CFA Society of the UK is a not-for-profit membership organisation that represents more than 9,000 individuals involved in the investment profession. They are one of 136 CFA Institute member societies worldwide. The society

16 15 promotes high ethical standards in the profession and support members through the provision of continuing education, careers support and advocacy. Website - The Charter ered ed Institut titute of Bankers in Scotland The Chartered Institute of Bankers in Scotland s (CIOBS) primary aim is to develop and maintain the highest industry wide standards in the financial services sector through the provision of top quality financial services qualifications and relationships with the main powers and influencers in the banking industry. Website - Charter ered ed Institut titute for Securities & Inves estment (formerly the Securities & Inves estment Institut titute) The Chartered Institute for Securities & Investment Institute is the largest and most widely respected professional body for those who work in the securities and investment industry in the UK and in a growing number of major financial centres round the world. Website - The Charter ered ed Insuranc ance Institut titute The CII is the premier professional organisation for those working in the insurance and financial services industry. It is dedicated to promoting higher standards of competence and integrity through the provision of relevant qualifications for employees at all levels and across all sectors. Website - The ifs School of Finance The ifs School of Finance is a registered charity incorporated by Royal Charter. It provides financial education to financial services professionals the world over, and to consumers in the UK. Website - The Charter ered ed Institut titute of Management Accountants CIMA is a leading membership body that offers a globally recognised professional management accounting qualification which has an emphasis on accounting for business. It is the voice of over 164,000 members and students in 161 countries and is responsible for the education and training of management accountants who work in industry, commerce, not-for-profit and public sector organisations. Website - The Institut titute of Charter ered ed Accountants in England and Wales (ICAEW) The ICAEW provides its members with knowledge and guidance based on the highest ethical and technical standards. Through their work they shape opinion, understanding and delivery to ensure the highest standards in business and in the public interest. Website - The Institut titute of Risk Management The Institute of Risk Management (IRM) is the world s leading enterprise-wide risk education Institute. It is an independent organisation run by practising risk professionals and provides professional qualifications, short courses and events at a range of levels from introductory to expert. Website - University of Manchester er The University of Manchester has a rich academic heritage and can lay claim to more than 23 Nobel Prize winners amongst its current and former staff and students. The objective of the Institute for Development Policy and Management is to promote social and economic development, particularly within lower-income countries and for disadvantaged groups, by enhancing the capabilities of individuals and organisations through education, training, consultancy, research and policy analysis. Website - Disclaimer The City of London Corporation is committed to the highest standard and quality of information and every reasonable attempt has been made to present up-to-date and accurate information to you. This report, its contents and any links provided, are for information purposes only and the City of London Corporation gives no warranty, express or implied, as to the accuracy, timeliness or decency of the information contained herein, or contained or derived from any linked documents or websites, and accepts no liability for any loss, damage or inconvenience howsoever arising caused by, or as a result of, reliance upon such information

17