Do You Need a Degree to Be a Financial Advisor?

Clients generally expect their advisors to understand the markets and a range of investment strategies, but where does a college education fit into that equation? CFP® professionals must hold at least a bachelor’s degree, though the CFP Board has debated whether that requirement should continue. Educational standards also vary across other certifications, with some requiring a degree and others allowing relevant work experience as a substitute. If you’re considering a career in financial services, it helps to understand how a college degree factors into professional licensing and credentialing.

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When Do You Need a Degree to Be a Financial Advisor?

As of 2026, you need at least a bachelor’s degree to be a financial advisor if you plan to pursue certain professional credentials and designations. You’re not necessarily required to pursue a degree in a specific field, though it’s common for advisors to have an educational background in accounting, mathematics, economics or business.

Does that mean all financial advisors need a degree? No, it’s possible to work as an advisor without holding a degree if you have equivalent work experience or education. However, you may be shut out of pursuing more senior roles in advisory services if you lack a degree. Some higher-level positions, especially portfolio managers and wealth managers, often require a master’s degree in business, accounting or a related field, in addition to a bachelor’s degree.

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Do You Need a Degree to Become a Certified Financial Planner?

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Currently, you must hold at least a bachelor’s degree to become a CFP® professional. This standard was established by the CFP Board, which issues this credential. In addition to education, you must also meet experience, exam and ethics requirements to earn a CFP® mark.

In January 2026, the CFP Board announced that it would increase continuing education (CE) requirements for CFP® professionals, but noted that it would not change the bachelor’s degree requirement, at least for now.¹ That opened up debate in the financial planning community about whether a bachelor’s degree should be required, or if it made one candidate more qualified than another.

Some professionals argue that removing the degree requirement could open up the field to a broader number of candidates. Others suggest that a degree was essential for projecting a professional image and standards in the financial planning community, similar to the way CPAs or attorneys are required to have a degree.

The CFP Board is set to review education requirements later in 2026, so it may be some time before a decision is made. In the meantime, current CFP® professionals should be preparing for new CE credit requirements to roll out beginning in 2027.

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Do You Need a Degree to Start an RIA?

Forming a registered investment advisor (RIA) firm is one pathway to operating an independent advisory business, and a college degree is not a universal requirement for doing so. Here’s what you will need to launch an RIA:

Complete the proper paperwork to register your firm with the SEC or your state regulatory agency, whichever is applicable. That includes Form ADV Parts 1 and 2.
Develop a business plan that includes a marketing strategy for attracting clients and a budget for managing operations.
Complete the Securities Industry Essentials (SIE) exam and obtain the appropriate FINRA securities licenses (Series 7, Series 63, Series 65, etc.).

But should you have a degree to advise clients in an RIA setting? The answer may depend on your target clientele and the range of services you plan to offer.

If you primarily aim to bring in high-net-worth and ultra-high-net-worth clients, they may naturally expect their advisor to have at least one college degree, if not multiple. Understanding your ideal clients’ needs and expectations can help you gauge how important a college degree might be to them. Developing buyer personas can help with this stage of RIA development.

Do You Need a Degree for Other Financial Advisor Designations?

Some financial advisor credentials require a degree, while others do not. Designations that require a degree include:

Chartered Financial Analyst (CFA): The CFA Institute, which grants the CFA designation, requires at least a bachelor’s degree. Exceptions are made if you are currently an undergraduate student, or if you have a combination of 4,000 hours of work experience and/or higher education that was achieved over the course of three sequential years. Those requirements must be met by the date you register for the Level I CFA exam.
Certified private wealth advisor (CPWA): The Investments & Wealth Institute (IWI) administers the CPWA designation, which requires at least a bachelor’s degree, or another acceptable designation. Accepted designations include RMA, CIMA, CFP®, CFA, ChFC or CPA, some of which also require a college degree.

What financial advisor credentials can you earn without a degree? You could complete a certified investment management analyst (CIMA) or retirement management advisor (RMA) without a college degree. For these certifications, IWI only requires that you pass a background check, have three full years of verified work experience in the financial services industry, complete an executive education program, and pass the certification exam. You’ll also need to pay an initial certification fee and adhere to the IWI’s Code of Professional Responsibility.

You could also become a chartered financial consultant (ChFC) without completing a college degree. The American College of Financial Services has no prerequisites at all for this designation, other than a high school diploma or equivalent. You’ll need to have at least three years of experience in financial planning or a related profession, complete eight required courses and related exams, and agree to comply with The College’s Code of Ethics and Procedures.

Fincert offers several certifications that require only a high school diploma or GED, although candidates must also have relevant experience in the field. They include the certified personal finance counselor(CFPC) credential, the certified peer mentor in personal finance (CPMPF) designation and the certified educator in personal finance(CEPF) credential. You may consider any of these options if you’re particularly interested in financial education.

Bottom Line

Do you need a degree to be a financial advisor? Not necessarily, though it depends largely on whether you plan to pursue specific credentials to enhance your knowledge and credibility. A college degree is a must for some designations but not others. Ultimately, you’ll have to decide how valuable a degree may be for your career advancement, and how much your educational background will matter to the clients you most want to serve.

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Learning doesn’t end once you obtain a financial advisor designation. Most credentials require you to meet continuing education requirements annually or biannually. If you’re looking for ways to complete those requirements with minimal out-of-pocket costs, there are several options to find free or low-cost CE classes for advisors online.

Article Sources

All articles are reviewed and updated by SmartAsset’s fact-checkers for accuracy. Visit our Editorial Policy for more details on our overall journalistic standards.

CFP Board Announces Updates to the Competency Standards. CFP Board, 27 Jan. 2026, https://www.cfp.net/news/2026/01/cfp-board-announces-updates-to-the-competency-standards.