The CFA Institute, the global association of investment professionals, has been ramping up capabilities in China's market, eyeing the country's growing demand for financial professionals in the ESG or environmental, social and governance market, said the top executive of the institute.
"We see the ESG market here as very important...(given) China's global leadership on climate," said Margaret Franklin, CEO and president of CFA Institute, referring to the increasing demand for qualified financial individuals for China to realize its climate ambition.
The top-down approach China adopts in developing green finance "matters for speed and effectiveness", Franklin added, stressing China's significant role as a major exporter of green technology, a thought leader in green transition and a key player in ensuring the interoperability of green finance standards across jurisdictions.
The CFA Institute launched its globally standardized certificate for ESG investing in 2021, equipping professionals with the technical knowledge and practical application to understand the fundamentals of climate change and the integration of ESG into the investment process, while including ESG analysis into its flagship CFA Program.
Besides green finance, the CFA Institute also identified several other key areas where the demand for skilled financial professionals is growing in China, including fintech, investment management, risk management and wealth management.
Franklin said that China's financial industry is undergoing a recalibration that is shifting focus to the industry's contribution to the real economy, which is not exclusive to China. "This is a globally consistent theme. Finance for finance is no longer acceptable. Finance for broader society is very important."
"We, along with many industry participants, are trying to help young financial professionals, be they thinking about it or already in it, to see beyond what seems to be a more challenging market and see a career over decades. I continue to believe that finance is a fantastic career," Franklin said.
