The common pass rate for CFA stage I examination has been round 42–43 p.c for last few years. The minimum passing score for cfa study materials stage I examination ranges from sixty five to 70 percent. It’s not that tough to score those many marks in the CFA stage I examination if one is well prepared. But nonetheless, why so many candidates fail to cross the hurdle? The reply is easy: The candidates are below-prepared.
The CFA Institute conducts a survey and asks the candidates in regards to the common hours required by them for passing the exams. The common hours as reported by the profitable candidates have been around 300–310 hours. So, a new entrant would plan his examine time as per these hours. But can a mean candidate pass the exam by finding out 300 hours? Well, it is determined by many factors. However there may be one thing we all should keep in mind that folks have a tendency to overestimate their abilities and underestimate their reporting hours. So, it is doable that those guys on a mean may need devoted four hundred+ hours for preparation but reported only 300 hours on the survey.
The CFA Institute curriculum books for CFA degree I has around 3,000 pages of content. Many of the third party content material suppliers even have round 1,200 pages of content. If one is finding out those topics for the primary time, then it isn’t anticipated to study and absorb more than 5–6 pages in an hour. An experienced fellow may be able to complete eight–10 pages in an hour but there is a whole lot of content within the CFA curriculum, and many of the guys aren’t familiar with that. So, assuming that you’re new to the matters, it would take roughly 200 hours just for first reading if you are reading it from the third party content providers. And it might take around 500 hours to finish that from the curriculum books. We’ve got completed just the primary reading. It’s tough to retain the content material in one reading. It’s essential to revise it a minimum of as soon as more to retain the topics. The revision would easily take 50–one hundred hours.
Assuming that you take 200 hours for first reading and 70 hours for the first revision and let’s say 30 hours for the last revision. Then, you’ll require round 300 hours of reading the content material only. It is advisable to practice the questions to become proficient in answering those within the exam. Making an attempt 2,500 to 3,000 quality questions is nice enough for that. It takes round 1.5 minutes on an average to attempt one query and then you could evaluation these questions as well. Assuming 2 minutes per question for making an attempt and reviewing, you would need 6,000 minutes or one hundred hours for working towards the questions. These 3,000 questions additionally embrace the query from a few full-size mock tests that you simply plan to attempt. So, an average candidate who isn’t a lot acquainted with the CFA exam topics would need approximately 400 hours of the preparation.
That’s the primary reason why loads of candidates are beneath-prepared once they write the exam on the examination day. Candidates plan their schedule as per 300 hours after which find themselves missing in full understanding as both they have to rush through the subjects or fail to aim required number of questions for practice.
So, how should one plan the schedule for the examination preparation? One of the simplest ways is to allocate more time than you think that you’d require for it. It is good to allocate 25 % extra time. In case you think that you are able to do it in 300 hours, then allocate 375 hours. However then one can not even estimate accurately because the syllabus is huge. One ought to begin with subjects: Monetary Reporting and Evaluation and Quantitative Methods. These two are excessive areas, and they require completely different ability sets. Note the total period of time spent in reading those areas and then modify your schedule accordingly by taking a median of that time. Allocating more time can also be vital because you might find yourself coping with some undesirable occasions like illness.