Earning the CAIA designation proved to be both a demanding and immensely rewarding journey. In 2023, with the invaluable support of ZCCM-IH, I embarked on the CAIA Association's rich and specialized curriculum. The program's emphasis on alternative investments perfectly aligned with my professional aspirations to expand beyond traditional assets and my personal interest in deepening my financial expertise. Balancing work, family, and dedicated study sessions (weekends and weekdays) required discipline and meticulous time management. I was able to utilize Mr. Arnauld Kalusokoma CAIA, FRM, CFA as a resource throughout my studying for occasional tips and best practices.
My interest in alternative investments blossomed during my studies for the Financial Risk Manager (FRM) certification. I was lucky to have Ms. Mambwe Chibale, CFA, FRM, as a mentor through this part of my educational journey. While studying for the FRM, there was a portion of the curriculum on commodity forwards and futures that I fell in love with and began looking at certifications that would explore commodities further. Additionally, as I pursued the Chartered Financial Analyst (CFA) designation, the CAIA's specialized focus on alternatives promised to complement my broader financial knowledge. The CAIA curriculum's in-depth exploration of commodities, hedge funds, and private equity, areas directly relevant to my role as a Portfolio Analyst, was particularly appealing because I analyze more of private equity opportunities.
Earning the CAIA designation has not only strengthened my expertise in alternative investments but also expanded my professional network across the globe. The CAIA has empowered me to contribute more meaningfully to my organization's strategic investment decisions. The honed skills in analyzing and evaluating investment opportunities are invaluable in my current role and pave the way for exciting future prospects.
Unlike traditional stocks and bonds, private equity (PE) offers exclusive access to high-growth private companies. PE firms go beyond investing; they actively manage these companies to unlock value over a 5-7 year horizon. This hands-on approach and longer investment period make PE attractive for investors seeking diversification and potentially higher returns.
Effective communication is essential in my role. I prepare comprehensive research reports and deliver presentations on investment ideas to the investment team. Additionally, I continuously monitor the performance of assigned investee companies, providing recommendations on holding, adjusting, or divesting them from the portfolio. Most institutional investors in less developed markets such as Zambia focus on public equities and bonds in portfolio construction. I feel it is high time the narrative changed to explore other investment opportunities, such as private equity, commodities, and structured products.
The greatest benefits of becoming a CAIA member have been, firstly, the significant expansion of my knowledge base. The CAIA curriculum provided me with a thorough understanding of alternative investments, including strategic approaches to due diligence and investment methods that are not commonly covered in other financial certifications. Secondly, the global recognition of the CAIA designation has increased my visibility within the financial community as well as affirmed my credibility as an expert in alternative investments.
About Suzyo Luhanga, CAIA, FRM, CTP, ACMA, CGMA
Suzyo is a seasoned investment professional with ten years of industry-relevant experience. He has a proven track record in strategically monitoring and tracking performance for funds with over US$150 million in Assets under Management (AUM). He is currently working as a Portfolio Analyst for ZCCM-Investments Holdings Plc, where he plays a key role in optimizing investment performance. His responsibilities encompass in-depth research and analysis to stay ahead of the market curve. This includes monitoring market trends, new investment products, and emerging market developments. He leverages specialized financial media to track company-specific news and critical economic indicators.
Furthermore, he delves into the financial health of investee and subsidiary companies by meticulously scrutinizing their financial statements (balance sheets, income statements, and cash flow analyses) against their business plans. Based on these analyses, he contributes to the development of investment strategies and performs portfolio attribution analysis. Risk management is also a crucial aspect of his role, ensuring optimal portfolio performance.
Suzyo passed the CAIA Charter program in 2024 and is the first Member from Zambia.