Did you know that in certain situations, the Investment Management Certificate (IMC) can be more suitable than taking on the CFA exams?
With over 5,000 exams sat each year, IMC is the most widely-recognised and established qualification of its kind in the UK.
The IMC has been used by investment professionals for 25 years, and is taken by staff in leading investment firms in the UK and overseas. This exam is now available globally as well via remote proctoring.
The IMC is the investment industry’s benchmark entry-level qualification, so if you’re looking for a lighter approach to the CFA program, but still have a strong recognition in the industry, read on to find out more!
Awarded by CFA UK, the Investment Management Certificate (IMC) is the benchmark entry-level qualification for UK investment professionals.
Launched in 1994, the IMC is used by leading investment management firms to demonstrate employee knowledge and competence for regulatory purposes, and by individuals working across all areas of the sector in developing their careers.
It has been recognized by regulators as the UK benchmark investment management exam, and is an FCA Appropriate Qualification for the activity of ‘managing investments’. It is also a powerful CV booster for fresh graduates looking to break into UK investment management sector.
To date, 42,500+ candidates have passed the two-part exam and hold the IMC designation, which requires approximately 240 hours of study. Commonly viewed as a stepping stone to the CFA program, IMC covers the key topics of economics, accounting, investment practice, regulation and ethics.
In terms of candidate profiles: over 50% of IMC candidates sitting the exam are actively involved in front office investment activities, including portfolio management, research, investment consulting, risk management and relationship management.
IMC is generally considered suitable for anyone working in an investment-related role. Typical roles include portfolio manager, research analyst, risk manager, relationship manager, wealth manager, sales & distribution, operations, IT / technology.
The IMC designation is a two-part, computed-based testing (or remotely proctored) examination:
Whilst there are no constructed-response type questions (‘essay’), there are 3 types of questions in IMC exams:
Unit 1 focuses on a broad introduction into the investment environment, covering how financial markets work, ethics, client advisory and UK tax, legal and financial regulatory system. Unit 2 is more application-focused: diving into topics such as economics, accounting, financial mathematics and statistics, learning about asset classes and the investment management process.
Similar to most other professional designations such as CFA, FRM or CAIA, the IMC designation is also a self-directed learning program:
The IMC exam can be taken every working day at Pearson VUE test centres in the UK, and at selected overseas sites. You can also take the exam at home via its online proctoring service. You can find your nearest IMC test center here. Candidates are required to sit the exam within 12 months of the registration date.
Once each exam is completed, you’ll get a provisional result statement before leaving the test center, and the official result via post within 21 working days from your examination date. The result is a simple pass or fail, with no details on exact score. However, if a candidate fails, indicators of areas of weakness will be given to guide candidates on their relatively weaker topics.
The IMC is a Level 4 qualification benchmarked under the UK ENIC (European Network of Information Centers) framework, which means that the level of difficulty of the qualification broadly equates to the first-year of an undergraduate degree.
Here is a chart comparing the difficulty of IMC vs other financial qualifications:
The latest pass marks are:
On average, IMC Unit 1 and Unit 2 have pass rates of 65%-80%, which is expected for a foundation course to investment management. To pass the examination, candidates need to achieve an overall pass mark/score regardless of where the marks were distributed throughout the examination.
The IMC Unit 1 exam mainly focuses on the introduction to financial markets, accompanied with legal, taxation, regulatory and ethical considerations required in client investment advisory. It consists of 85 questions with an allocated time of 1 hour and 40 minutes.
The topics areas and exam weights are as below:
| IMC Unit 1 Topic Areas | Weighting |
|---|---|
| Financial Markets and Institutions | 12% – 24% |
| Ethics and Investment Professionalism | 6% – 18% |
| Regulation & Legal Concepts | 29% – 41% |
| Client Advice | 18% – 29% |
| Taxation in the UK | 12% – 24% |
The IMC Unit 2 exam consists of 105 multiple-choice, item sets, and gap-fill style questions, with an allocated time of 2 hours and 20 minutes.
IMC Unit 2 builds on the foundation of Unit 1 and focuses on application during investment practice, covering topics such as economics, accounting, quantitative methods, asset classes and portfolio management.
The topics areas and exam weights are as below:
| IMC Unit 2 Exam Topic Areas | Weighting |
|---|---|
| Quantitative Methods | 10% – 19% |
| Economics (Micro & Macro) | 5% – 14% |
| Accounting | 10% – 19% |
| Asset Classes (Equities, Fixed income, Derivatives, Alternative Investments) | 24% – 29% |
| Investment Theory, Management & Measurement | 24% – 29% |
IMC exam fees are pretty straightforward and significantly cheaper than CFA exams:
| Fee Type | IMC Unit 1 | IMC Unit 2 |
|---|---|---|
| 1) Exam Fees (and Retakes) | £335 | £360 |
| 2) Official Training Manual (OTM), i.e. IMC Syllabus | £125 + Shipping (£6-£25 depending on country) | £135 + Shipping (£6-£25 depending on country) |
There are minor savings if you purchase both Units’ OTMs, but this depends on your exam timeline as candidates need to be mindful that the IMC syllabus gets updated annually on 1st December and lasts for one year until 30th November.
The fees are the same even with online proctored IMC exams.
As you can see, IMC can be a cost effective, low barrier yet reasonably prestigious qualification to kickstart your UK finance / investment management career.
With some discipline and determination, one can actually complete the IMC qualification quickly for less than £1,000!
Of course, this assumes self-studying without additional third party material and passing both units in the first try (which is a reasonable assumption given the relatively high pass rates).
Unlike most other financial designations, candidates can sit for the IMC exams throughout the year (except holidays and weekends).
That said, candidates must carefully plan the time of exam registration, bearing in mind that the IMC syllabus (Official Training Manual, OTM) gets updated annually on 1st December and remains until 30th November the following year, unless otherwise necessary.
Here’s a quick summary of the registration and exam scheduling details:
| Exam Registration | IMC exam registration is done through CFA UK. Upon registration, candidates will receive an email confirmation providing scheduling instructions, a unique username and password. Note that candidates can only view exam availability after registration. |
| Exam Scheduling | After registration and payment, candidates will need to wait for 2 working days before they are permitted to schedule an exam. To do so, they need to login to Pearson VUE’s website to select a date, time, and location to take the IMC exam. Similar process applies for online-proctored IMC exams. Candidates can sit for exam on most working days in one of 52 locations across the UK or selected centres worldwide. |
| Exam Registration Expiry | Candidates have 1 year from initial exam registration to sit for the exam. Otherwise, the registration will expire after 1 year with no refunds given. Re-registering will cost the same exam fee each time. |
| Number of Exam Attempts | Candidates are not allowed to take an IMC exam (i.e. either one or both units) more than 4 times in any 4 month test window. No further attempts are allowed once a candidate achieves a passing score. For resits, candidates need to wait 3 working days after the exam date to re-register for the exam. Note that all candidates are only permitted to attempt each unit of the IMC exam only once per calendar month. |
One of the best features of the IMC qualification is the lack of requirements given its foundational nature, despite its relative prestige as a potential stepping stone to other finance qualification.
There is no requirement to have completed any other qualifications prior to taking the IMC. For typically 60%-80% of candidates, the IMC is their first professional qualification.
In order to complete the IMC qualification (and use the IMC designation in your CV), all you have to do is:
Unlike the CFA qualification, there is no working experience required for the IMC certificate.
Exemptions are available for 1 unit of the IMC exam depending on circumstances. Interestingly, CFA candidates who have passed IMC Unit 1 exam can apply for Unit 2 exemption if:
That said, IMC candidates who are successful in applying for an exam Unit’s exemption still have to pay the same exam fee for it. More details on IMC exemptions policy on CFA UK’s website.
Given its relatively low cost (from a money and time investment perspective), the IMC qualification can be particularly beneficial for those at the beginning of their finance / investment management career.
Once you earn the IMC designation, you can expect to:
For investment professionals and their employers alike, the IMC-CFA route provides a globally-recognised career progression.
In short, the CFA charter is an all-inclusive designation that focuses more on portfolio management at its highest level. On the other hand, IMC designation is an entry level qualification – it is designed for fresh graduates, career changers as well as investment support staff who are looking level up their basic knowledge in investment management. So, from a career building perspective, IMC is a lighter version compared to the CFA charter.
It really depends on where you are in your career:
Here’s a quick summary comparing both designations:
| IMC | CFA | |
|---|---|---|
| Pre-exam qualifications | None, but it is advised that a Bachelor’s degree prior to IMC designation provides a better career standing. | Have a bachelor’s degree; or Undergraduate with 2 years remaining of a bachelor’s program; or Have a minimum of 4,000 hours of work experience and/or higher education over a minimum of 3 years. See CFA entry requirements for more details. |
| Number of Exams | 2 units (fastest route is 2 months) | 3 levels (fastest route is in 18 months) |
| Exam Frequency | Unit 1 & 2 can be booked throughout the year, whether in-person or remote testing. Maximum 4 attempts in 4 months | Level 1: 4x a year (Feb, May, Aug and Nov). Level 2: 3x a year (May, Aug and Nov) Level 3: 2x a year (Feb and Aug). |
| Exam Format | IMC question format consists of standard multiple-choice, item sets and gap-fill style questions. Unit 1 has 85 questions Unit 2 has 105 questions | Computer-based exams from for all levels: Level 1: Multiple choice questions Level 2: Item set questions (multiple choice) Level 3: Item set and essay questions |
| Pass Rates | 65%-80% | The range of CFA pass rates since 2010: Level 1: 22%-49% Level 2: 29%-55% Level 3: 39%-56% |
| Fees and Costs | Total minimum cost: ~ £1,000 (or around US$1,320) | One-off Enrollment Fee: $350 Registration fee (per level): $900-$1,200 Retakes: same as registration fee Total minimum cost: ~US$ 3,100 |
| Study Hours Needed | Unit 1: 100 hours Unit 2: 140 hours | At least 300 hours per level |
| Post Exam Requirements | To become IMC-qualified: – Pass IMC Unit 1 and Unit 2; – Join CFA UK as an IMC member (local membership) by paying an annual fee of £125; – No work experience required. | To become a CFA charterholder: – Pass all the 3 levels of CFA exams; – At least 4,000 hours of relevant experience, completed in a minimum of 3 years; – Submit reference letters for 2-3 professional references; – Become a regular member of CFA Institute; – Adhere to CFA ethics and professional conduct. |
Overall, IMC offers an excellent career entry opportunity in investment profession, particularly valued by UK investment firms. It is a good value-for-money designation that requires relatively low time and money investment, and is a perfect stepping stone for future, more specialized financial designations like CFA, FRM or CAIA.
So if you’re currently student or just aiming for a career in investment management in general, and unsure if you’re ready to commit to the CFA charter, the IMC qualification can be a solid starting point. You can always decide to follow up with a CFA charter later, and meanwhile you’ll have added valuable credentials to your CV.
Any questions or comments? Let us know in the comments below!
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View Comments
Hello everyone,
I've got the IMC 2022-2023 Part I book. Is the difference between the one I've and the next revision massive?
Thank you for your response in advance
Hi Denis, we can't comment on that as what you have is version 20, and we are currently on version 21 up to 30 Nov (not many days left) before moving to Version 22. You can compare the changes in two documents here: v20 to v21, then v21 to v22 for Unit 1 IMC. Hope this helps!
Greetings, Respected
If there's a gateway for IMC certification preparation similar to the one you offer for CFA level one, that would be of interest to me.
Thanks, and best regards
Mohamed Abouelnaga Riad
mohammeeddriad_1900@yahoo.com
Hi, I know I'm late to the party, and it's in 2024. I just graduated as a BA (Hons) Accounting & Finance student with a not-great cumulative grade. I'm having a tough time finding any internships or full-time work in the investment management field; people just don't care for just another graduate; I've graduated from a UK university is it a good option to complete an IMC to bolster my CV to score my first goal and work on my career from that point on?
Hi Sophie,
Thank you for an informative overview of the IMC run by CFA UK. In comparison, how would you rate or recommend the CISI run Level 4 Certificate in Investment Management? Is this more widely accepted as the industry standard and more comprehensive for UK regulation and for fund managers, compared to the IMC? How do they both compare and differ please? Many thanks!
Hi I have a relevant CII exam which I can use to exempt from unit 1 of the IMC. However, CFA are saying that if I did this I would not be RDR compliant / qualified to advise on securities if and when I completed CFA Level 1. Therefore, I don't see any advantage in applying for an exemption. Please can you clarify if I have understood correctly? Thanks, Matt
Can I complete Unit 1 of the IMC with version 20 and wait to purchase version 21 (December 1st 2023 - November 30th 2024) of Unit 2? Or do I have to complete both units in the same OTM syllabus version.
Thanks
Luke
Hi Luke, yes you can do that. You don't need to complete both units in the same OTM syllabus version.
Hello,
I registered for both exams last year. I booked and passed the Unit 1 exam, but a busy year has left me with far too little time to study for Unit 2 before its expiration date (less than a month's time) and I'm planning to re-book at my own expense. Would letting the registration for Unit 2 expire invalidate my Unit 1 exam result?
Thanks!
Hi K, your Unit 1 exam result will hold as is, regardless of your Unit 2 outcome. Not to worry! Best of luck :)
Hi sophie,
Right now I am doing masters in finance specifically in investments management and I have 7 years experience in retail banking however I don’t have experience in investment management .should I go for IMC or CFA?
Hi Manish, thanks for writing in. Have you compared your Masters in Finance (Investment Management) with the content of CFA Program? It sounds quite similar and I wondered if you may be covering the same things.
As for which qualifications to go for, it always helpful to tie back to your career goals and what you hope to achieve, and what the target employer (if applicable) values. If you can find out and elaborate more, that should help understand the situation better.
Hi sophie,
Thank you for your response,I would like to tell you that I want to switch my career into the investment management so for that purpose I am doing masters in finance but the some of the modules are not present into my course like ethics. Apart from that I have no experience in investment management so employers will treat me like an fresher.My purpose is doing these certifications IMC or CFA just to highlight my CV.
Hi Manish, I would say it may be optional if you're already studying Masters in Investment Management. If your core goal is to find a job in investment management, the time would be better focused on networking, job applications etc, since you're already working towards some relevant qualifications in investment management. That may yield a faster result as you're switching mid career rather than aiming for graduate jobs. Speaking to potential employers and people who work in the industry will also highlight to you what qualifications they value. Then, as you gather more info, you can decide whether IMC or CFA works better.
But if you would to push me to choose one, I would say CFA because of your ultimate career goal. IMC however gives you a good intro to IM, is easier to pass and get a qualification though. CFA Program is a multi year effort and I think at this stage focusing on switching careers in finance should be your main goal since you're already studying Masters In IM. Check out the guide I linked and the related articles at the bottom to give you a good base of understanding of what jobs are relevant and how to approach career changes. It's likely you may not get a direct switch to IM at this stage, but moving closer to your ideal target career is the goal.
Hi Sophie,
Thanks for posting such an in-depth analysis of the IMC certification.
I hold a BSc in Computer Science and have been working as a tax technical consultant for the past 2 years.
The finance industry (Trading particularly) has been of interest to me, and I plan on being involved in the industry in the near future.
Considering that I have no prior experience in the field of Finance, would the IMC certification help bolster my CV to show that I have interest in the field of Finance (as applied to trading positions) or is it very much suited for someone looking to work within the investment banking industry?
Hi Raul, I'm glad you found the guide helpful! IMC seems to be a good starting point given you don't have a background in finance. So doing that can be a good indicator to show recruiters you have the basics covered. I would say your background in Computer Science actually adds a lot to your story of wanted to work on the trading floor - that could get you into more analytical roles first, before you seek to switch to a trading position if the opportunity arises.
Since you've worked 2 years in tax, I would say you should work hard on applying to switch into finance sector right away (Whilst studying for the IMC to show your commitment to upgrade yourself in finance as a starting point), to avoid being 'pigeon-holed' as a tax person. You're still junior enough to switch (assuming just 2 years work experience), but I would say be open to taking any jobs in front office in the trading floor to start with, even if it is not your target one. Hope this helps, good luck! Keep me posted on how you're doing :)
The other benefit to the IMC, if not perhaps one of the more important ones, is that if you are in a regulated position where you are providing 'advice' to clients, you need to have a qualification to not require supervision. You can still be in a client-facing role providing 'advice' but at the same time, your manager will need to supervise you as part of the regulatory conditions which is a lot of paperwork for them and you, hence you'll probably be under pressure to take the IMC if you haven't already. There are other qualifications you can take, but the IMC is the standard entry level one.
The prevailing wisdom in the asset management industry (at least at the two firms I've worked at) is that the IMC is the more 'rational' of the two. It isn't (or at least doesn't have to) take years to complete versus the CFA. A lot of sales professiomals and even some other front office types such as traders have an IMC only, so its definitely a good benchmark / minimun qualification to have.
That's true George, thanks for sharing this insight with us all. It really depends on what you need for your career and choose accordingly.