High School

In high school, take as many business, economics, mathematics, and accounting classes as possible. English and speech classes will help you to develop your oral and written communication skills. Computer science, database management, artificial intelligence, and other technology-related courses will come in handy as you conduct research and use financial modeling software.

Postsecondary Education

To become a portfolio manager, you’ll need to earn a bachelor’s degree in finance, quantitative finance, mathematics, accounting, economics, or business. Some managers also earn master’s degrees in business administration or other advanced degrees. Students who enter a degree program in finance take classes such as Introduction to Investing, Financial Derivatives, Fixed Income Portfolios, Applied Portfolio Management, and Empirical Analysis in Finance.

Certification

Some colleges and universities and professional associations provide undergraduate- and graduate-level certificate programs for finance professionals. For example, The Wharton School at the University of Pennsylvania offers the Investment Strategies and Portfolio Management Program, which helps participants expand their knowledge of modern portfolio theory, behavioral finance, bond management duration, and credit risk equity market valuation. It also offers an Asset and Portfolio Management Certificate Program. The Investments & Wealth Institute offers online certificate programs in investment management essentials, applied behavioral finance, and other areas.

Other Education or Training

Participating in continuing education classes and webinars helps portfolio managers maintain their skills, learn about new investment strategies and financial products, and satisfy certification renewal requirements. Many professional associations provide such opportunities, including the Investments & Wealth Institute, Association of International Certified Professional Accountants, Association for Financial Counseling and Planning Education, Association for Financial Professionals, and CFA Institute. Contact these organizations for more information.

Certification or Licensing

Many portfolio managers earn the chartered financial analyst (CFA) credential, which is offered by the CFA Institute. The CFA program has three levels of examinations and measures the candidate’s ability to apply the fundamental knowledge of investment principles at the professional level. To enroll in the program, applicants must meet one of the following criteria:

• have completed a bachelor’s program or equivalent program and received a degree
• be a current university student who is within 23 months from completing their undergraduate degree
• have a combination of 4,000 hours of work experience and/or college/university education that was acquired over a minimum of three sequential years and achieved by the date of enrolling for the Level I exam

Portfolio managers are typically required to obtain their Series 7 and Series 63 or 66 credentials from the Financial Industry Regulatory Authority, the self-regulatory arm of the investment industry. The Series 7, or General Securities Representative certification, allows you to buy or sell, or solicit the purchase or sale, of all securities products, including corporate securities, municipal securities, municipal fund securities, options, direct participation programs, investment company products, and variable contracts. It’s the most basic form of certification for anybody involved with the markets. The majority of firms will also require a Series 63 (Uniform Securities Agent State Law) registration, which requires knowledge of state securities laws and allows you to be a securities agent. Other firms may require the Series 66 (Uniform Combined State Law), which covers the same ground as a Series 63, but also certifies you to act as a registered investment adviser.

This is not an entry-level position. At least 10 years of investment experience and a proven performance record are required to become a portfolio manager.

Portfolio managers must have an in-depth understanding of financial markets, financial instruments, and investment strategies. They need excellent communication skills in order to interact effectively with current and potential investors and colleagues. Other important traits include strong analytical, problem-solving, and organizational skills; attentiveness to detail; confidence and leadership ability; and proficiency in customer relationship management, basic office (e.g., PowerPoint, Microsoft Excel, Word), and investment research and planning (e.g., Morningstar Office, Bloomberg, Zacks Investment Research) software.