CPWA Certification: Key to Enhanced Investment Knowledge & Success

Posted by Allison Edmondson, Director of Communications

Feb 28, 2018 3:00:00 PM

Denver, CO — February 28, 2018Investments & Wealth Institute® (formerly IMCA) released research findings today from a new study, “Building High-Net-Worth Knowledge Through the CPWA Certification,” exploring how the organization’s Certified Private Wealth Advisor® (CPWA®) certification correlates with superior levels of advisor knowledge and success.
The research study, fielded by the Aite Group, gathered input from 436 advisors, including 77 with a CPWA certification, between April and May 2017. The designation was found to have immense value, with more than 65 percent of CPWA professionals stating that the designation led to knowledge of investment management, confidence in managing investments and increase in client trust.
Other findings include:  

  • The mean assets per client of CPWA practices ($7.3 million) is nearly four times the assets per client of non-CPWA practices.

  • Revenue generated over the last 12 months ($1.9 million) is 43 percent higher for practices with CPWA professionals than for non-CPWA advisors.

  • 77 percent of CPWA professionals have at least two designations (versus 43 percent of non-CPWA advisors).

  • 34 percent of CPWA professionals have earned a graduate degree versus 24 percent of non-CPWA advisors, indicating CPWA professionals are more dedicated to obtaining advanced levels of education.

In addition to their high levels of education and responsibility, CPWA advisors hold more experience than other industry professionals. CPWA professionals have 2.9 more years of experience than non-CPWA advisors, and the mean CPWA professional has accumulated 13.5 years of industry experience, whereas other advisors have accumulated a mean of 12 years of experience.
“Competition for high-net-worth investors is fierce, and these clients expect their advisors to have the depth of knowledge and ethics necessary to navigate their sophisticated needs successfully,” said Sean Walters, CAE, chief executive officer, Investments & Wealth Institute. “The demonstrated level of education, responsibility and superior performance among CPWA advisors compared to other advisors is significant and reflects the quality and standards of the certification. The CPWA is an advanced credential, offering Ivy League quality and practical tools and techniques designed to help practitioners differentiate themselves in a global, and highly sophisticated marketplace.”

CPWA advisors also showed high levels of achievement when working in teams. Seventy-six percent of CPWA practices are team practices, and the average CPWA team practice manages $438 million in client assets to generate $2.1 million in revenue. These teams are highly credentialed, with 79 percent of CPWA team practices holding CPWA, CFP and CFA designations, and 64 percent of CPWA practices have more than one CPWA professional on staff.
Certified Private Wealth Advisor® (CPWA®) is an advanced professional certification (minimum five years experience) for advisors who serve high-net-worth clients. It is designed for seasoned professionals who seek the latest, most advanced knowledge and techniques to address the sophisticated needs of clients with a minimum net worth of $5 million. Unlike credentials that focus specifically on investing or financial planning, the CPWA program takes a holistic and multidisciplinary approach. The education requirement for CPWA certification program is currently offered through the University of Chicago Booth School of Business and online through the Yale School of Management.


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