For $1,198 and 75 to 100 hours of study, you too can become a Chartered Hedge Fund Associate, or CHA, a designation earned through a self-study course sponsored by an organization called the Hedge Fund Group. (Upon completion of the coursework, the student takes an online exam that he or she must complete in less than two hours.)
Richard Wilson, the Boston-based founder of the Hedge Fund Group, says 70 people have taken the test since its rollout in July. He offers this hypothetical example as a typical case: “A hedge fund manager in New Jersey may want to register because his expertise is in trading, not running a hedge fund; he also wants to know how his trading strategy is typically classified within the industry.”
The program provides graduates with a certificate to show that they have mastered a fundamental understanding of hedge funds. Of course, most hedge fund managers don’t have it and don’t need it — the Soroses and Steinhardts of the world never got their CHA.
But Andreas Voutsinas, a Merrill Lynch & Co. capital changes analyst who is studying for the exam this month, says it “creates a standard for hiring.” He thinks the designation will help enhance the reputation of an industry that is sometimes considered selfish, dark and devious.
Voutsinas says that he originally intended to go to law school but has been sidetracked by finance, markets and money management since joining Merrill: “When I realized it was a serious certification, I wanted to pursue it to show that I have the knowledge necessary to compete for positions.”
The CHA program teaches fundamental trading, brokerage, sales and accountancy by concentrating on six areas that include hedge fund strategies, due diligence and portfolio management. There are two levels: One is an overview; the other delves into specific areas of expertise. Each costs $599, and both are required for certification.
Wilson says HFG’s board of advisers, made up of representatives from 30 hedge funds, ten funds of funds and ten hedge fund consultants, includes Stefan Nieborak, senior manager of information technology at Citigroup’s New York–based, $4 billion Old Lane hedge fund, and Johann Schwimann, chief financial officer of tiny ($86 million) Paris-based Seven Capital Management.
