1. Career Development CFA Austria 02 06 2008

2. Page 2 Sponsored by: 2008 CFA ® PROGRAM

3. Page 3 Mission Statement To lead the investment profession globally by setting the highest standards of ethics, education, and professional excellence.

4. Page 4 CFA Austria www.cfaaustria.org CFA Austria currently has 189 members CFA charterholders 89 % NON-CFA charterholders 11 %

5. Page 5 CFA Austria Commercial/Retail Bank 18 % Mutual Fund 17 % Investment Bank / Broker Dealer 12 % Institutional Investment Manager (diverse client base) 12 % Institutional & Private Client Investment Manager (mix ) 12 %

6. Page 6 What is the CFA Program? Three Levels and Three Exams Level I – Knowledge and comprehension of fundamental investment tools and concepts Level II – Application and analysis focused on asset valuation Level III – Synthesis and evaluation of client needs and portfolio management issues Ethical and professional standards are emphasized at every level.

7. Page 7 GBIK TM and the CBOK TM Global Body of Investment Knowledge TM The GBIK is the comprehensive outline of mainstream knowledge for the investment profession, encompassing an entire career – novice through expert – for both generalists and specialists. Candidate Body of Knowledge TM The CBOK is the inventory of knowledge and responsibilities expected of the professional practitioner of investment management at the level of a new charterholder. The CBOK, resulting from practice analysis, is organized into four functional areas: Ethical and professional standards, investment tools, asset valuation, and portfolio management. The CBOK is the roadmap for CFA curriculum development.

8. Page 8 Frontier (emerging) All Investment Knowledge Bodies of Investment Knowledge GBIK Candidate BOK Frontier (emerging) All Investment Knowledge GBIK Candidate BOK PWM BOK CIPM BOK

9. Page 9 What is the CFA Program? Learning Tied to Current Practice Practice analysis determines topics taught in the CFA Program Involves investment practitioners worldwide: Regional expert panels and member surveys The question asked in practice analysis is “What knowledge and skills are needed by an investment professional with four years of experience?” Candidate Body of Knowledge (CBOK), curriculum, learning outcome statements (LOS) and exams all based on what practitioners need to know

10. Page 10 Practice Analysis Process 2006 and Prior Previously on approximately a 5-year cycle Regional expert and employer panels in 18 cities (with 2 additional cities participating online) Broad survey followed regional expert panels All charterholders invited to participate Nearly 11,000 responses Input used by Practice Analysis Task Force to set topic weights and specific knowledge areas

11. Page 11 Practice Analysis Process New Process In FY2008, a new continuous practice analysis process was initiated. Global Body of Knowledge will be updated on a continuous basis using a collaborative website followed by regional panels and targeted surveys. Portions of the Candidate Body of Knowledge will be updated on an annual basis. Test specifications will continued to be updated on a multi-year cycle. Results of practice analysis will form the foundation of all educational programs at CFA Institute – including the CFA Program and continuing education offerings.

12. Page 12 Education Advisory Committee The Education Advisory Committee (EAC) is responsible for providing oversight and guidance to the processes by which CFA Institute develops the Global Body of Investment Knowledge (GBIK), Candidate Body of Knowledge (CBOK) and CFA program curriculum materials.

13. Page 13 Educational Content Committee Structure Research Foundation Board of Trustees Education Advisory Committee Conferences Annual Conf. Comm. FAS Board Publications CFA Digest Ed. Board FAJ Ed. Board FAJ Advisory Council Private Wealth Advisory Committee Global Body of Investment Knowledge & Practice Analysis Working Body CandidatesUniversities Members Societies

14. Page 14 EXAMINATIONS CURRICULUM BODY OF KNOWLEDGE  PRACTICE ANALYSIS GRADING EAC COE Practitioners at every step of the process STANDARD SETTING MINIMUM PASSING SCORE (MPS) What is the CFA Program? Practical, Relevant Education

15. Page 15 Global Passport: The CFA Charter Members’ Locations 94,975 Members and 135 Societies Worldwide * United States & Canada Members: 65,033 Europe Members: 13,359 Asia & Mainland China Members: 2,050 Latin America Members: 1,056 Pacific Asia Members: 11,267 Africa & Middle East Members: 2,199 * As of 1 April 2008

16. Page 16 High Regard for the Charter: Financial Times “The big attraction…is [that] the CFA [charter] qualification becomes a second passport, an international gold standard.” Rise of the grueling professional exam Financial Times 22 May 2006

17. Page 17 High Regard for the Charter: Financial Times Financial Times, 18 June 2007 Financial Training Special Report CFA Program and CFA Institute featured in 4 articles: 1.The CFA Qualification – A popular course that complements other degrees. 2.The CFA Institute – Goal is to be a global one-stop shop. 3.From the courtroom into the classroom – The fallout from scandals has given a boost to courses. 4. An Expanding Market – The must-have degree (included a table entitled “Masters in Finance programmes and CFA – at a glance”). In addition, a full-page table of the Financial Times Masters in Finance Programmes included a column indicating if the program was a CFA Programme Partner.

18. Page 18 High Regard for the Charter: The Economist “Whereas there are tens of thousands of finance degrees available around the world, ranging from the excellent to the worthless, there is only one CFA, managed and examined by an American association of financial professionals, the CFA Institute. It used to be just an American qualification. But explosive growth has made it, in effect, global currency.” The Economist 26 Feb.-4 Mar. 2005

19. Page 19  “Passing the CFA facilitated my ability to grow in my career in risk management, which was one of my objectives in preparing to receive the charter,” said Manual Arrive, who is responsible for structured finance analysis at Fitch Ratings in London. There are between 800 and 1000 candidates in France who will take the exam on 3 June 2006 – a dramatic change from the 1990s when the qualification was relatively unknown in France.  CFA — The Global Passport  L’Agefi (France)  3 February 2006 High Regard for the Charter: L’Agefi

20. Page 20 High Regard for the Charter: Bloomberg.com “Investment banks increasingly require CFA credentials for employees and job candidates. Goldman Sachs Group Inc. and Merrill Lynch & Co. are among the largest employers of chartered analysts, along with Bank of America Corp., Fidelity Investments and Northern Trust Corp.” Bloomberg 2 June 2006

21. Page 21 Benefits of the CFA Program Knowledge

22. Page 22 Most common occupations of CFA charterholders CEO/Principal Investment Counselor Chief Investment Officer Investment Firm Manager Equity Analyst Portfolio Manager Fixed Income Analyst Portfolio Strategist Investment Banker Sales/Marketing Professional Benefits of the CFA Program Respect and Credibility

23. Page 23 Mutual Funds / Investment Companies26% Brokerage / Investment Banks18% Investment Management Counselors12% Commercial Banks / Trust Companies15% Consulting Firms7% Insurance Companies5% Other17% Benefits of the CFA Program Diverse Career Opportunities

24. Page 24 Benefits of the CFA Program Employers with Largest Numbers of CFA Charterholders UBSBMO Financial Group CitigroupAllianz AG JP Morgan Chase & Co.FMR Corporation Merrill LynchPricewaterhouseCoopers RBCLehman Brothers Bank of AmericaMellon Financial Credit SuisseABN AMRO Bank HSBCING Morgan StanleyScotiabank Group Goldman SachsWells Fargo Deutsche BankState Street TD Bank Financial GroupDeloitte WachoviaPrudential Financial CIBCAMVESCAP BarclaysKPMG

25. Page 25 High Regard for the Charter: Job Postings CFA charterholders or candidates in the CFA program are to be favored Switzerland

26. Page 26 ING Wholesale Banking Equity Analyst Benelux and Nordic Banks ING is a pan European broker that search an equity analyst to join the banking team to cover Benelux and Nordic stocks. The location can be either London or Amsterdam (possibly Brussels). The role requires modeling, forecasting, writing research and market research with institutional clients. Requirements: At least 5 years experience doing research either on the buy side or sell side. Strong analytical and communication skills. An equivalent experience in consultancy or banking could be considered. CFA charter is a must. Dutch speaker preferably. High Regard for the Charter: Job Postings

27. Page 27 The CFA Course of Study CFA Body of Knowledge™ Ethical and Professional Standards Quantitative Methods Economics Financial Reporting and Analysis Corporate Finance Equity Investments Fixed Income Derivatives Alternative Investments Portfolio Management and Wealth Planning Investment Tools Asset Classes and Valuation

28. Page 28 The CFA Course of Study Three Levels – Topic Areas Percentages are average approximations of the actual topic weights for exam purposes, which have a range of target weights. Actual content of future exams may vary.

29. Page 29 Charterholders and Candidates As of 1 April, there were 82,177 active charterholders worldwide (more than 100,000 have been awarded). As of 1 April, there are 119,378 candidates for the June 2008 exam worldwide. There are more than 175,000 registrations for fiscal year 2008.

30. Page 30 Candidate Enrollments (for June 2007 and December 2007 exams) U.S. 49,622 Europe 23,606 Canada 12,780 Singapore 6,272 U.K. 9,580 P.R. China 12,926 Hong Kong 10,867 Korea 6,094 Taiwan 3,414 Australia 3,339 Latin America 2,587 Middle East & Africa 8,241

31. Page 31 32% non-U.S. 78% Male Age 31 68% non-U.S. 74% Male Age 30 June 1993June 2007 Candidate Makeup

32. Page 32 Preparation for the CFA Exams Valuable Learning Experience

33. Page 33 The CFA Examinations 2008 Exam Format Multiple ChoiceItem Set (Objective) Constructed Response Level I ● 100% Level II ● 100% Level III ● 50% ● 50%

34. Page 34 The CFA Examinations Graded with Great Care 291 CFA charterholders from 37 countries in 2007 Teams of practitioners Rigorous and thorough process Consistency and fairness across all papers

35. Page 35 2007 Exam Results June 2007 More than 70,000 candidates from 163 countries sat 26% no-show rate (compared to a 10-year average of 27%) Pass rates – 40% at Level I 40% at Level II 50% at Level III December 2007 More than 37,000 candidates sat for Level I in December with a pass rate of 39%

36. Page 36 CFA Program Historical Combined Pass Rates

37. Page 37 Each study session is designed for flexible, self-directed study Readings are drawn from a variety of materials, published by CFA Institute and other sources Each reading has learning outcome statements (LOS): “The candidate should be able to…” Each LOS has one or more command words, which indicate type of learning expected: “discuss, calculate, contrast” LOS are NOT an exact proxy for examination questions, but mastering LOS is the best study approach Curriculum

38. Page 38 Six volumes at each level represent the entire curriculum. More cost effective – beginning with the June 2008 exam, the exam registration fee also includes the complete curriculum and one sample exam. Custom Curriculum

39. Page 39 Examinations Multiple choice: Stand-alone individual multiple choice questions; 1 question = 1.5 minutes, exam = 240 questions = 360 points Essay: Discussion-type and problem-solving questions; ½ exam = typically 10-18 questions with variable minutes = 180 points Item set: Vignette with set of accompanying related multiple choice questions (items); 1 question = 3 minutes, 1 item set = 6 questions, ½ exam = 10 item sets = 180 points

40. Page 40 Registering for the CFA Program CFA Charter Requirements Sequentially pass Levels I, II, and III exams Have four years of acceptable work experience Provide professional references (Level III) Join CFA Institute as a member and apply for membership in a local CFA Institute society Sign and submit professional conduct statement

41. Page 41 Connecting with a Local Society

42. Page 42 CFA Charter Ethics Requirements http://www.cfainstitute.org/centre/codes/ethics/index.html What Do the Code and Standards Cover? Code of Ethics: Place the integrity of the profession and the interests of clients above your own interests Act with integrity, competence, and respect Improve and maintain your professional competence

43. Page 43 Standards of Professional Conduct: Professionalism Integrity of the capital markets Duties to clients Duties to employers Investment analysis and recommendations Conflicts of interest

44. Page 44 More Information About the CFA Program www.cfainstitute.org Europe One Canada Square, 10th Floor Canary Wharf London E14 5AB United Kingdom Phone:44-20-7531-0751 Fax:44-20-7531-0767 E-mail:info@cfainstitute.org

45. Page 45 Contact Information Dennis W. McLeavey, D.B.A., CFA CFA Institute Head, Education Europe, Middle East and Africa One Canada Square, 10th Floor London E14 5AB United Kingdom +44 (0)20 7531 0756 tel +44 (0)20 7531 0767 fax Email: dennis.mcleavey@cfainstitute.orgdennis.mcleavey@cfainstitute.org