The most effective method for passing the CFA exam

CFA exams are challenging, and the vast majority of students fail them. They can't be rushed, either: according to the CFA Institute, each level should take at least 300 hours to finish. If you want to pass, you'll need a plan. And you'll have to stick to it for the rest of your academic career. Based on the average age of CFA exam takers, earning the full charter will take at least three years.

We spoke with full Charterholders, CFA exam coaches, and CFA Institute senior members who had all taken the CFA test.

If you want to pass CFA levels I, II, and III, they say you'll need to complete this.

You should be mindful of what you're about to embark on.

Don't start the CFA program unless you're completely aware of the consequences. Bruno, who works at a London hedge fund and passed all of his exams first time, says it's not worth studying CFA Level I just to have it on your resume: "If you don't enjoy investing and doing research, the CFA exams are not a good use of your time," he says.

Massimiliano Saccone, a full charterholder, says that you should begin the CFA program prepared to make sacrifices. "I had a full-time job. I didn't study throughout the week, but I did study for the exams on multiple weekends. You'll have to sacrifice time with your family or partner "he proclaims.

Begin as soon as possible.

Each level of the CFA is equivalent to two or three A Level exam in the United Kingdom, according to Vishal Awatar, a senior CFA tutor at Kaplan Financial Markets.

In the United Kingdom, students typically spend two years studying for an A Level. According to Awatar, most students spend five to six months studying for each level of the CFA. According to Awatar, Kaplan provides a 'early start' course that starts in October (for the June exam) and is becoming increasingly popular.

"You must plan your study time well in advance of the exam date and stick to it," Bruno recommends. "If you work long hours, you may need to start as early as January to enable enough study time and buffers to match your personal and professional obligations."

Brush up on your English language abilities.

The CFA exams are meant to evaluate your knowledge of financial concepts. Your English skills, on the other hand, will be put to the test. If English is a second language for you, try to improve your fluency while you're learning. "You're at a disadvantage if you're not a native English speaker," Saccone explains. "These are English tests, and some of the phrases are difficult to understand even for native English speakers."

Make use of the CFA Institute's online study planner.

The CFA Institute maintains its own study planner, which you can access here. This allows you three weeks to examine what you've studied and shows how much time you'll need to commit to each topic. Steve Horan, managing director and co-lead of education at the CFA Institute, suggests starting with this planner to make the most of your study time.

Examine a summary of the CFA's study materials, but remember to read the originals as well.

Despite the fact that the CFA provides its own study materials, they can be quite extensive. Bruno claims he hired a "notes source" for Level I, but he returned to the CFA's own materials for Levels II and III to ensure he "filled all the gaps."

Pankaj, a structurer at a big investment bank who passed all three levels on his first attempt, says he concentrated on the CFA's own materials. "In some cases, I also went over materials from Schweser [part of Kaplan]," he continues.

Schweser's materials, according to Awater, detail the underlying wording published by the CFA Institute without omitting anything. There are also videos available from Kaplan that will guide you through the reading. "Our children' pass rate is definitely greater than the global pass rate," he informs us.

Examine the pertinent questions after you've researched each topic area.

If you want to excel on the CFA exams, you must practice prior questions. "We train students to go through the relevant questions as soon as they finish a course," Awatar explains. While there are no past papers for Levels I and II, he points out that the CFA Institute's manual does provide end-of-chapter questions. Schweser also offers an online question bank with 4,000 multiple choice problems for Level I.

Pay attention to your weaknesses.

Horan suggests utilizing topic-based questions to figure out where you're weak. Needless to say, this is where you should concentrate your efforts. "Candidates indicate the most difficult aspects for them are derivatives and financial reporting and analysis. Candidates will profit more from their studies in general if they concentrate on their weaker areas "He provides us with information.

Questions must take primacy in your revision as exams approach.

While it's vital to review questions after each topic to ensure you've grasped it, as the examinations approach, you'll need to devote more time to answering them.

"As a result," Horan explains, "we recommend practicing end-of-reading questions, topic-based practice examinations produced from a library of over 1,000 questions, and mock exams."

Examine your knowledge by taking some practice tests.

In the last month of your study, you should begin answering these sample questions in an exam scenario. Saccone recommends keeping track of your time as you answer the questions. "I timed myself answering book questions and compared it to how quickly I completed previous tests."

Kaplan offers invigilated mock examinations in major financial centers. There are also online practice examinations available. Awatar suggests taking as many mock exams as possible in the four weeks leading up to the exams.

"Ideally, candidates [for the June exam] would be able to begin taking mock exams now, if not sooner, to identify weak points if they have stayed on track," Horan adds. "By using this strategy, candidates will have a bit more time to 'top up' their knowledge by going over topic areas that they may find difficult in greater depth."

Take a week off as the examinations approach

As the six-hour CFA session approaches, you should take a break if you work full-time. Saccone states that a'refresher course' was attended a few weeks before each exam. "At the end of the day, giving yourself this space when you're working and trying to study in your spare time is quite beneficial," he adds.