What is the most valuable certification for equity analysts?

The Chartered Financial Analyst (CFA) certification is the gold standard, covering investment tools, ethics, financial analysis, and portfolio management.

Do analysts need FINRA licenses?

Yes, in the U.S., many equity analysts working on the sell-side are required to pass the Series 7 and Series 86/87 exams for compliance.

Are there any entry-level certifications?

Certifications like Bloomberg Market Concepts (BMC) or Wall Street Prep can help beginners demonstrate financial fluency and readiness for research roles.

How does the CFA benefit career advancement?

CFA holders often move into senior analyst or portfolio management roles due to the designation's global recognition and credibility in the industry.

Do certifications help on the buy side too?

Yes. Buy-side firms value certifications for their rigor, signaling that an analyst can handle complex models, ethical standards, and portfolio strategy.

How is technology changing equity research?

AI and alternative data are enabling analysts to uncover insights faster, automate routine analysis, and deliver deeper research in less time.

How do macros help in equity research?

Excel macros can automate repetitive tasks like financial updates, formatting, and model refreshes, saving time and reducing manual error risk.

What certifications benefit a Equity Research Analyst the most?

Certifications play a significant role in the career development of Equity Research Analysts by validating their financial expertise, analytical abilities, and commitment to professional growth. In a competitive industry where credibility and technical skills matter, the right certifications can set you apart and open doors to more advanced roles in investment research, asset management, and portfolio analysis. Whether you're just starting out or looking to level up, here are the most valuable certifications for Equity Research Analysts.

1. Chartered Financial Analyst (CFA)

The CFA designation is widely regarded as the gold standard for investment professionals:

Offered by the CFA Institute and completed over three levels of exams
Covers financial analysis, valuation, portfolio management, economics, and ethics
Respected globally by employers in investment banking, asset management, and research

Why it matters: The CFA charter demonstrates deep analytical knowledge, discipline, and industry commitment—making it a top credential for equity research roles.

2. Financial Modeling and Valuation Analyst (FMVA)

The FMVA certification is practical and hands-on, ideal for technical skill-building:

Offered by the Corporate Finance Institute (CFI)
Focuses on Excel modeling, DCF valuation, financial analysis, and scenario planning
Includes templates and case studies commonly used in equity research

Why it matters: FMVA is a great complement to theoretical knowledge and helps junior analysts hit the ground running with modeling tasks.

3. Certified Public Accountant (CPA)

While more commonly associated with accounting, the CPA can be valuable in equity research:

Particularly helpful when covering industries with complex financials (e.g., banks, insurance)
Provides a strong foundation in GAAP, auditing, and financial statement interpretation
Respected by buy-side and sell-side firms that value forensic analysis skills

Why it matters: For analysts focusing on accounting-driven research or corporate earnings quality, the CPA adds depth to your financial scrutiny.

4. Chartered Alternative Investment Analyst (CAIA)

The CAIA is ideal for analysts covering hedge funds or alternative assets:

Focuses on private equity, real assets, hedge fund strategies, and risk management
Less common than CFA but increasingly relevant in diversified portfolios

Why it matters: Adds specialized knowledge for analysts working in or transitioning to alternative investment research roles.

5. Bloomberg Market Concepts (BMC)

This certification is useful for those new to financial markets and Bloomberg terminals:

Covers macroeconomics, equities, fixed income, and FX markets
Teaches how to use Bloomberg tools for data analysis and visualization

Why it matters: While not a core credential, it helps aspiring analysts build fluency with Bloomberg—an essential tool in equity research.

6. Series 86 and 87 Licenses (U.S. Based Analysts)

Required for publishing equity research at FINRA-regulated firms:

Series 86 covers analysis and valuation of securities
Series 87 focuses on ethics and compliance related to research publication
Usually sponsored by the hiring firm and taken after joining

Why it matters: Mandatory for sell-side analysts producing public reports in the U.S. financial markets.

7. Certificate in Quantitative Finance (CQF)

This program is suited for analysts working in data-intensive or quantitative sectors:

Covers financial mathematics, machine learning, and quantitative modeling
Useful for analysts building proprietary models or working with quant strategies

Why it matters: Enhances technical credibility in data-driven and hedge fund environments.

Final Thoughts

The most beneficial certification for an Equity Research Analyst depends on your career stage, specialization, and the type of firm you work for. The CFA remains the most recognized credential in the field, but combining it with practical certifications like the FMVA or CPA can provide a balanced edge. As the finance industry becomes more tech-savvy and globally integrated, analysts who continuously upskill through certifications will remain ahead of the curve and better positioned for leadership roles.

Frequently Asked Questions

What is the most valuable certification for equity analysts?: The Chartered Financial Analyst (CFA) certification is the gold standard, covering investment tools, ethics, financial analysis, and portfolio management.
Do analysts need FINRA licenses?: Yes, in the U.S., many equity analysts working on the sell-side are required to pass the Series 7 and Series 86/87 exams for compliance.
Are there any entry-level certifications?: Certifications like Bloomberg Market Concepts (BMC) or Wall Street Prep can help beginners demonstrate financial fluency and readiness for research roles.
How is technology changing equity research?: AI and alternative data are enabling analysts to uncover insights faster, automate routine analysis, and deliver deeper research in less time. Learn more on our Trends Shaping Equity Research Careers page.
How do macros help in equity research?: Excel macros can automate repetitive tasks like financial updates, formatting, and model refreshes, saving time and reducing manual error risk. Learn more on our Top Excel Skills for Equity Analysts page.