Author Topic: Advice Needed - Will earning the CPA make me a better investor?  (Read 1244 times)

Hielko

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Re: Advice Needed - Will earning the CPA make me a better investor?
« Reply #10 on: June 29, 2020, 06:04:50 AM »
Is the CPA a valuable designation re: investing? Buffett always talks about the importance of accounting, but is earning the CPA necessary? Can't I learn as I go along by reading regulatory filings?

My thinking is that if there are particular aspects of a financial statement that I don't understand, I can always look up the rules (i.e. CPA handbook, etc.). I have 3 years of experience in Big 4 audit, which has built a strong foundation of accounting knowledge. My original intent for joining Big 4 was to learn accounting, but earning the CPA will likely take me another 2 years.

I'm not concerned about the time/effort required, but if I'm going to embark on an arduous journey and take time away from finding bargains, I want to know that there's light at the end of the tunnel. Any thoughts/opinions are welcome.

How has everyone else on this forum learned accounting over the years?
I would guess that you probably already know more about accounting than you need for investing.


K2SO

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Re: Advice Needed - Will earning the CPA make me a better investor?
« Reply #11 on: June 29, 2020, 11:00:09 AM »
It's not necessary, and won't necessarily make you a better investor, but it could.

You'll have a better understanding of how financial statements work, and be able to catch inconsistencies and call out management BS (there is a lot, even with large cap widely followed stocks).

Independent thought is the most important aspect to being a good investor, and the better your technical skills, the more valuable your insights will be.