When to Start Preparing for CFA Exam?
The sooner you start, the better. That’s a worn-out cliché but the majority of CFA candidates still start their preparation 4 months before the exam even though CFA pass rates have always been quite low (over the recent years, it’s around 43% for level 1 and 46% for level 2).
Doesn’t it make you think? The majority must be doing something wrong!
We advocate the CFA exam prep that lasts even as long as 8 months. It can positively affect the quality of your private life, study routine, and hopefully also your exam result!
In this post, you can learn about:
PART I: 4 Benefits of Starting CFA Exam Prep Early
Take it easy
nicely paced study routine
Time to tweak
study routine improvements
regular review that makes a difference
Enjoy the 4 Benefits of Early CFA Prep
Achieve your study-work-family/friends balance
You need around 9 study hours per week. That’s not many! No damage to your private life needs to be done .
Be careful though not to spoil your study plans either. While creating your study schedule, it’s best if you knew how much time each CFA reading can take to hold yourself accountable. To help you out, we’ve estimated study times for readings.
Have a nicely paced study routine
You can study at your own speed. There’s no pressure!
Each week, arrange what readings to do.
Every Sunday, assess your progress and reschedule your study plan if for a reason you fail to follow it. ‘Sum Up Current Week’ and ‘Edit Week’ are the features we added to our CFA Study Planner to help you easily achieve both.
Improve your study routine
Be careful especially if you postpone your study sessions too often. Motivation always fades. Ask someone to help you stay motivated and to brainstorm with you some ideas to improve your learning process.
Two heads are better than one :)
On our end, you can count on motivational messages that keep you going and help you develop a successful study routine.
Get quality learning
1st step – plan regular review sessions!
That’s what guarantees your knowledge retention. Our CFA Study Planner schedules both study and review sessions for quality learning.
2nd step – use different review resources, brief and plain in language.
The evergreen revision tools are notes.
Make them and use them to get your knowledge from short-span to long-span memory. Lately, to our CFA Study Planner we are adding our CFA Reading Notes in the form of short printable e-books, where you can also make your own notes and finally have them in one place for one reading.
Remember: The CFA exam is a grown-up decision. Goal? A successful professional life. So, the ‘study to forget’ strategy can never be the right choice. Yet, too many opt for that (often for the lack of time). By starting your CFA exam prep well in advance, you can do better.
PART II: The Threats of Early CFA Exam Prep
The threats of beginning your CFA exam prep even as soon as 8 months before your CFA exam stem directly from the benefits of starting your preparation early.
They are about the wrong proportions of your study – work – family/friends lives and a random learning strategy leading to all the mistakes people tend to make when they have too little time to prepare.
The problem starts with putting off studying too often. Then, one thing leads to another:
you take it too easy
due to procrastination & low motivation
not enough ‘study’
in the study-work-family/friends balance
random study routine
if there’s hardly time for studying, there’s even less time to improve learning techniques and habits
high speed + traditional review before the exam only = no real knowledge retention can happen
8-month exam prep gets like 4-month exam prep
you unconsciously apply the ‘study to forget’ strategy ‘cos you have no other choice
8-month Exam Prep VS 4-month Exam Prep
|4-month CFA prep||8-month CFA prep|
|learning pace||ca. 18 study hrs/week (e.g. 3 hours 6 days a week or 2 times 9 hrs)||ca. 9 study hrs/week (e.g. 3 hrs 3 days a week)|
|study-work-family/friends balance||frequently give up private life to get 18 study hrs a week||no damage to your private life needs to be done|
|study routine||either like intensive course or chaotic and random||lots of time for improvements even if at first chaotic|
|knowledge retention||usually only traditional pre-exam revision||regular review is possible|
What To Avoid VS What To Do
To mitigate the threats, here’s what you need to do:
postpone study sessions without control
reschedule the postponed sessions ASAP
assess your progress every Sunday
react if too many CFA readings are overdue
be all satisfied with yourself – there’s always something to improve!
think of ways to improve your study routine
underestimate the power of review
learn from different sources to get different perspectives
get your CFA curriculum briefer and easier to digest (e.g. make notes to review)
PART III: 7 Must-Know Facts About CFA Formulas
One of the things you should study regularly over your whole CFA exam prep is formulas. It is a daunting challenge for all candidates. However, many realize that too late. Here’s why CFA formulas are so special:
1. There are no formulas only in 1 out of 10 topics. It’s Ethics.
2. More than 400 formulas are included in your CFA curriculum. With 8 months to your exam, it’s a dozen of formulas a week. In other words, you need to acquire 1 or 2 formulas each day!
3. Formulas are a nuisance to learn. To handle them, you must study actively, e.g. write formulas down on a piece of paper or use flashcards.
4. In your exam, as many as 35% are computing questions! If you don’t know the right formula, you won’t be able to give the correct answer...
5. Answers to computing questions often include the most common mistakes. If you know your formulas just so-so, you’re likely to fall for the trap. Sorry :/
6. One thing is closely related to formulas in your exam – it’s calculator literacy! You should be using the approved calculator and solve exam-type questions from the very beginning of your CFA exam prep. However, many candidates use their calculators too seldom and practice next to nothing.
7. Not all CFA formulas are equal. To distinguish the important ones just focus on the formulas that relate to LOSes with the ‘calculate’ word inside.
If you want to take your formulas seriously, learn them regularly and practice with questions requiring calculations. To help you with that we’ve got:
in the form of flashcards
you can filter e.g. by topic and check off as memorized
include most common mistakes & explanations
with examples showing how to use TIBA II PLUS PROFESSIONAL calculator
PART IV: 5 Steps of CFA Exam Prep Algorithm for Quality Learning
Our CFA Exam Prep Algorithm for Quality Learning has 5 steps:
These 5 steps should be applied to every CFA Reading you study. Moreover, the steps should be repeated if your level of confidence for a Reading is unsatisfactory.
1. BIG PICTURE
That’s where you open your CFA Curriculum and go through the LOSes (at the beginning of the Reading) and read the summary (at the end of the Reading). To help you grasp the most important concepts before you get down to details, we also prepared some Reading Notes in a form of short e-books – print them out and read twice before you move on.
Also, a look at the intro to the Reading in your CFA Curriculum is a good idea. It all gives you the background you need to feel confident while trying to make sense out of your study content.
2. PASSIVE LEARNING
That’s where you read your CFA curriculum and prep providers’ books and watch video lectures. The videos we offer are bite-sized and give you a quick reference to the main ideas of the CFA Reading. Remember, though, it’s just passive learning. All the definitions, formulas, examples, etc. are now in your short-term memory. But short-term memory is susceptible to forgetting (it is said that we forget even up to 65% of what we study today by tomorrow’s evening).
3. ACTIVE LEARNING
That’s where real learning happens. It takes some time and action to get things from your short-term to your long-term memory. To give yourself a chance to truly understand what you’ve watched or read, it’s best if you take notes while watching or reading and then review them regularly. If you print out and bind the Reading Notes we’ve got for you, you can add your own notes there and keep all your notes in one place (so much better than separate sheets of paper).
CFA formulas need some extra attention and revision to sink in. That’s why we encourage you to use our Formulas APP on a daily basis. You can also get the lists of formulas for Readings where available (level 1 only, sorry :/).
4. TESTING KNOWLEDGE
Find out how well you know all the theory and how well you can put it to practice! Do end-of-reading questions in your CFA Curriculum + more questions that apply the exam format and test you against the most common mistakes >> our questions do that .
Testing your knowledge is – in a sense – also active learning. Practice tests provide you with a chance for revision and show you the areas you still need to improve. So, basically, they are invaluable for your quality learning.
One word on CFA formulas – an easy way to test your knowledge of formulas is to have them all in a form of flashcards, like in our app.
5. LEVEL of CONFIDENCE
Last but not least!
That’s where you ask yourself how well you know your CFA Reading. Feeling confident? Mark the Reading as DONE in your CFA study plan . Not so confident? Mark the Reading as PARTIALLY DONE and repeat all 5 steps. This time focus mainly on problematic areas. You may want to browse our blog and the Internet for answers.
Side note: If after repeating this algorithm, you still feel unconfident – leave this Reading as PARTIALLY DONE. There are plenty of other Readings to get to know and you have to keep up the pace. If you find the time, you’ll get back to this Reading later on. If not – don’t worry, you don’t have to master each bit of CFA Curriculum to pass your exam.
Sample Algorithm Application: Reading 7, Quantitative Methods
This is a sure-fire 90% CFA pass strategy if you follow it thoroughly. Just get the Big Picture first, then dive into the topic and don’t be just passive – learn actively. Test yourself oftentimes and apply the level of confidence to each Reading you study.
If you get most of your CFA Readings DONE and your tests and formulas mastered, your Chance-to-Pass inside your CFA study plan will show that you’re bound to pass your exam – which is hopefully what happens in your real CFA exam!
Choose Premium CFA Study Plan
Our premium CFA study planner:
1/ organizes all CFA readings to weeks + allots benchmark study times,
2/ allows you to assess your progress (‘Sum Up Current Week’) and can be easily rescheduled (drag & drop edition),
3/ estimates your Chance to Pass based on your self-assessment (Done, Partially Done, Overdue readings),
4/ gives ideas how to improve your study routine thanks to a series of motivational messages sent to your e-mail,
5/ schedules both study and review sessions (regularly!) + includes:
LEVEL 1: 40+ hrs of videos, 1700+ questions, 50+ review tests, 40+ printable e-books (notes), formulas app, and more.
LEVEL 2: 40+ hrs of videos, 300+ questions (=50+ item sets), 14+ printable e-books (notes), formulas app, and more.