Ideas on the Level 1 CFA Examination

1. 300 hours means 300 hours

CFA Stage 1 candidates are typically advised to check 300 hours for the exam. I initially scoffed at the suggestion; unfortunately, it’s not an exaggeration. You should consider placing in that a lot time if you have the capacity. The examination covers 10 broad subjects, and you by no means know what you may be requested on the exam.

Don’t think about skipping sections, both, because you studied accounting or minored in statistics five years ago. At the same time as a licensed CPA, I couldn’t ignore all the monetary reporting and evaluation section. Let’s face it — tasks accomplished at your day job don’t mimic questions which can be designed to trick you under time constraints. Practice, apply, apply, regardless of your background.

Full disclosure: I didn’t track my study time, nor do I think I reached the 300 hour threshold. Had I failed, I would not have been stunned for this very reason.

2. Don’t let your mock examination and quiz scores discourage you.

This will be the most troublesome psychological hurdle to overcome. Most of us hate being incorrect, and the follow exams will regularly inform you that you’re improper because you cannot recall a components and even comprehend the query at hand. It’ll happen over and over again; count on it to affect your spirits.

You could fight this feeling.

I’ve heard of people who by no means scored higher than 60% of mock exams pass the Level 1 exam on their first try. Ethical of the story: don’t give up.

3. Turning into a cfa study guide charterholder will not be a “silver bullet” on your career, nor is it a Stanford MBA replacement.

I’ve met a number of people who began the CFA Program because they think turning into a CFA chartholder will dramatically change their career like they lately received a MBA degree from a high business school. It’s not.

I think of the CFA program as a tool.

It gained’t magically get you a job you otherwise aren’t qualified to do. It received’t make you equally qualified as a Harvard MBA, either. I’m not arguing one over the opposite — they’re just different.

What the CFA Program is: a rigorous program designed to test your knowledge of a multitude of financial topics. It additionally shows employers that you’ve got deep information of these matters, as evidenced by your passing of three completely different exams. It could assist advance your profession, however don’t anticipate it. I benefit from the program because it helps me identify gaps in my data and what I must learn to grow to be a more well-rounded professional. Charter or no charter, it’s a benefit in my eyes.

4. Exams are expensive. I hope your employer pays for them.

The Degree 1 exam value me about $1,four hundred, more than all 4 sections of the CPA Examination combined. You’re additionally unlikely to turn into a CFA charterholder with out failing not less than one exam. Oh, and learning materials aren’t cheap both; begin filling up that piggy bank now.

5. Don’t spend a whole lot of time on Reddit’s r/CFA and different forums.

It seems to me that many candidates spend half of their free time on forums both complaining about finding out or asking for answers to specific questions. Don’t fall for this trap.

It’s true what they are saying — Stage 1 is 5 miles lengthy and one inch deep. Not understanding a few questions gained’t kill you, but a lack of observe time will.

I discovered r/CFA to be a helpful resource initially of the process to study completely different examine supplies and research methods. As soon as your study schedule is about, don’t lurk on the forums excessively.

6. Ask your family and friends for support.

When you research for a a number of hundred hours throughout your free time, your personal relationships might be affected. To attenuate the negative impact, explain to your family members what you are about to do and why you’re doing it. Then, simply ask them for assist throughout the process. Friends and family might be much more supportive while you method the exam this approach instead of springing on them last minute that you simply gained’t be round for 4–5 months.