Non-Saudi CFA in Saudi Arabia

[Ray911]

I need some advise from people holding a CFA charter in Saudi.

I am a non-Saudi, currently pusuing my ACCA exams and I wish to appear in the Dec ‘14 session for CFA Level 1. When I asked my mentor “Should I pursue CFA”, he just pawned me off to a very experienced person in Saudi Corporate Finance.

To put that person into more perspective:

• He has been working in Saudi for 12-years and is 41 years old.
• He is the Financial Controller of one of Saudi’s top-3 PLC’s.
• He has been GM Finance for Majid al-Futtaim and the Director Finance for Emaar, King Abdullah Economic City Project (A $86 billion project).
• His current job description includes:

Hedging Price & Margin Risk With Financial Instruments:

1. a) Protect [Company] Sugar & Oil from price & margin fluctuations while investing into financial instruments & derivatives through stock exchanges
2. b) Adopting options & future structures to maximize value, hedge volatility while avoiding risks.
3. c) Monitor markets and mitigate resulting risk exposure on Strategic Business Planning.

• He is also one of the many people who were unable to finish their CFA (Level II pass).

Now, he told me three reasons I shouldn’t pursue CFA and stick with ACCA and later get my ACA from ICAEW:

1)Saudi Investment markets (both capital and money) aren’t matured enough (implying simple financial instruments) to truly need a CFA’s knowledge for analysis.
2)The particular jobs for a CFA, the one’s that really utilise the knowledge gained with CFA, are restricted for Saudi’s.
3)The simplicity of the Saudi Market renders a simple 3-month investment-related course (that he did in the UK) enough, knowledge-wise, for dealing with Saudi investments.


Now since over here, in AF, we have CFA’s and hopefully some from Saudi Arabia, I wish you. hands-on experienced people, can give me some contrary advice.
Or should I listen to the man who achieved so much at such a young age…

 

[sumz]

I worked in corporate finance advisory, not asset management. But here are my two cents:
- Yes his views are correct. But then why you think you will be limited to studying only Saudi market?
- You are a non Saudi which makes it highly doubtful that you will stay in Saudi for forever. So don’t limit your views and education plans just till Saudi.
- CFA Charter is highly valued in finance industry in Saudi Arabia as the number of CFA charterholders is very limited. Despite the fact that less than half of knowledge is actually used.
- if you see yourself working in asset management in international company, then go for CFA. If you see yourself working for big four then ACA should be a better plan.
- never compromise a good job experience for education.
Good Luck! Stay intouch!

 

[Butterich]

The CFA Charter is highly respected in Saudi Arabia especially within the Banking and to some extent the Family Office environment. In Riyadh I have met dozens of CFA Charterholders which are mosty expats yet locals start picking up the knowledge as well and try their luck going for the charter. There are probably about 150-200 CFA Charterholders that reside in Saudi while there are likely less than 20 Saudi Nationals holding the charter so far.
I took a CFA exam in Riyadh and the test location is the Holiday Inn as there are not that many people writing the exams. On the test days you will see tons of South Asian expats from Pakistan/India and a few Saudis.
If Asset Management is for you I would definately recommend you to purse the charter. While you are living in Saudi Arabia you wont have much else to do anyway. Don’t listen to people that tell you education is not really necessary. The guy you mentioned probably came to Saudi when it was even less competetive. If you check job offerings now in the middle east you see more and more education and designation requirements.
Good luck!
P.S. From what I have seen since I moved to Saudi CFA charterholders are way better compensated than people with most accounting credentials. Most accountants I have seen are rather hard working yet lowly paid Indians.