The CFA® LEVEL 1 exam is a challenging test that is designed to test a candidate's knowledge and expertise in the field of finance. Passing the exam is essential for anyone who wants to become a Chartered Financial Analyst. The exam covers a wide range of topics, and candidates must be well-prepared if they want to succeed. In this article, we will discuss the exam objectives, the exam details, and the related books that can help a candidate pass their CFA® LEVEL 1 exam.
Exam Objectives:
The CFA® LEVEL 1 exam has six main objectives, which are:
- Ethical and Professional Standards
- Quantitative Methods
- Economics
- Financial Reporting and Analysis
- Corporate Finance
- Equity Investments
- Fixed Income
- Derivatives
- Alternative Investments
The exam aims to test a candidate's knowledge of these objectives, as well as their ability to apply them in real-world scenarios.
The CFA® LEVEL 1 exam is suitable for professionals who want to enhance their knowledge and skills in finance, including:
- Financial analysts
- Investment bankers
- Portfolio managers
- Research analysts
- Accountants
- Consultants
There are no specific prerequisites for taking the CFA® LEVEL 1 exam. However, candidates must have a bachelor's degree or equivalent to become a CFA® charterholder. In addition, candidates should have a good understanding of basic finance and accounting concepts.
Exam Details:
The CFA® LEVEL 1 exam is a computer-based test that is offered in two exam windows per year. The cost of the exam varies depending on when you register, but it typically ranges from $1,000 to $1,500. The exam consists of 240 multiple-choice questions that must be completed within 6 hours.
To pass the CFA® LEVEL 1 exam, candidates must score at least 70% on each of the six main objectives. The passing score is not disclosed, and it may vary from one exam to another.
The exam is delivered via a computer-based testing system, which allows candidates to review and change their answers during the exam. The exam format is multiple-choice, and each question has three answer choices.
Related Books:
There are several books that can help a candidate prepare for the CFA® LEVEL 1 exam. Some of the most popular ones are:
- CFA® Program Curriculum 2021 Level I Volumes 1-6 Box Set by CFA Institute
- CFA® Level 1 Complete Study Material by Kaplan Schweser
- CFA® Level 1 Exam Prep - Volume 1 by Finance Equations
- CFA® Level 1 Study Guide 2021-2022 by Test Prep Books
- CFA® Level 1: 400+ Practice Questions by Financial Analyst Warrior
These books cover all the exam objectives and provide practice questions and mock exams to help candidates test their knowledge and prepare for the exam. Candidates should also consider taking a review course offered by a reputable provider to supplement their self-study efforts.
In conclusion, passing the CFA® LEVEL 1 exam requires a solid understanding
of the exam objectives and a lot of practice. Candidates should make sure to allocate enough time for studying and review, and use all available resources, including books, review courses, and mock exams. With dedication and effort, candidates can succeed in passing the CFA® LEVEL 1 exam and move on to the next level of their finance career.