All You Need To Know About CFA level 1 Training Classes | {Aspirenowglobal}

The chartered Financial Analyst is one of the most sought-after credentials for investment professionals offered by the CFA Institute. The journey of becoming a CFA charter holder is long and it tests knowledge not only from the subject but also endurance, diligence, and will.

According to the CFA Institute, CFA is a self-learning, distance learning program that takes a generalist approach to investment analysis, valuation, and portfolio management and emphasizes more on the highest ethical and professional standards

The CFA program has three levels:-

CFA Level 1 - August, November, February, May

CFA Level 2- August and November

CFA Level 3- August and February

As we all know, the CFA exam is one of the toughest exams, In November 2021, the passing rate for CFA level 1 was 27% compared with the average passing rate of CFA level 1 i.e. 45%.

The curriculum of all three levels is mapped out to test the broad array of skills relevant to investment professionals.

Eligibility Criteria

·         The candidate should have Bachelor's degree or be a final year student

·         4000 hours of work experience is mandatory either full-time or investment-related. 

• A passport is required for verification at the time of the final examination. 
• Meet the Professional Conduct Admission Criteria

CFA exam fees

One-time Enrolment Fee: $450 USD 

Early Registration Fee: $700

Standard Registration Fee: $1,000

In this article, we will focus on CFA level 1 Course Details, CFA level 1 exam preparations, and CFA level 1 online coaching. 

CFA Course Details: -

CFA level 1 subjects with their weightage:

 

Subjects	weightage
Ethical and professional standards	15%-20%
Quantitative Methods	8%-12%
Economics	8%-12%
Financial statement analysis	13%-!7%
Corporate Issuers	8%-12%
Portfolio Management	5%-8%
Equity Investments	10%-12%
Fixed Income	10%-12%
Derivatives	5%-8%
Alternative Investments	5%-8%

CFA LEVEL 1 STUDY PLAN 

Have no idea form where to start preparing for CFA level 1?This article will help you in making your study plan.

This study plan ensures that the candidate:-

•  Masters the high weightage topics
•  Stay motivated throughout the preparation
•  Find the appropriate connection between topics to expand knowledge.

Detailed examination of CFA level 1 Subjects that will assist you in selecting the most important subjects. 

• QUANTITATIVE METHODS

Concepts like Time Value of Money, Present and Future Values, and Annuities are covered. The candidate should have in-depth knowledge about these topics as this will help in other areas like Asset Valuation and Portfolio Management. 

• FINANCIAL REPORTING AND ANALYSIS

If the candidate is not from a commerce background then 17-19 sessions are helpful - covering concepts like Cash Flow Statement, Income statement, and Balance Sheet. 

The candidates will be working with specific categories of assets and liabilities that are susceptible to alternative accounting policies and estimates.  

 Topics covered- Inventory Costing, Depreciation, Intangible Assets, deferred Taxes, Leasing, and accounting for Bonds. 

 

•  FIXED INCOME

It would be easy for a candidate to understand the concepts covered in fixed income if they have mastered TMV in Quantitative Methods. 

• EQUITY

The candidate should take 36-38 sessions as they focus on the analysis, valuation, and characteristics of equity securities. 

Mastering TVM will benefit in understanding equity securities and valuation.

 

•  ALTERNATIVE INVESTMENT

In the 2022 curriculum, new topics like Private Debt, Timber, and Farmland are added, along with Private Equity and Real estate. 

 

• DERIVATIVES

Basic understanding of Derivative securities, Forwards, Future Options, and Swaps, the sessions ensure that the candidate is competent in their comprehension of these financial instruments. 

 

• CORPORATE ISSUERS

Some concepts overlap with the topics covered in the Quantitative Methods and Accounting sections. Corporate Governance is also covered, and it is something that should be reviewed thoroughly as the exam approaches.

 

• QUANTITATIVE METHODS

This is one of the difficult subjects to master. In the 2022 curriculum, new topics on linear regression are added, which proves to be helpful in CFA level 2. 

The introduction of concepts like sampling, estimation, and hypothesis may affect the pace of your studies. 

 

• PORTFOLIO MANAGEMENT

Topics like- the introduction of the area of diversification and statistical concepts such as Standard derivation previously discussed are used in Portfolio management. 

The Portfolio Planning and construction Process are some critical topics in this study session. 

 

• ECONOMICS

Economics is a vast topic and this subject may take time to complete. 

Economics cover three main areas:-

Micro And Macro Economic Analysis: -

This topic introduces the basic concept of supply and demand. 

Once the candidate masters this concept, they can expand their knowledge to cover the output and costs incurred by the firm.

Once this concept is over, you can expand your knowledge to cover the output and costs incurred by the firm.

Monetary And Fiscal Policy, International Trade, And Currency Exchange Rates:

This session explains the flow of goods and services, physical and financial capital across countries, and an overview of currency market fundamentals. 

 

• ETHICAL AND PROFESSIONAL STANDARDS

The candidate must ensure that they grasp the Ethics syllabus's rules and regulations.

 Situations in the CFA curriculum will help you apply these principles in a real-time scenario. Questions will be based on a hypothetical situation, so make sure you know how to apply the rules in different scenarios.

Tips To Clear The CFA level 1 Exam In The First Attempt: -

Start Early Preparations:

CFA candidates should study at least 300-400 hours for each exam. The candidate should start preparing six months before the actual CFA exam. Students from non-commerce backgrounds might take a longer time to prepare.

Monthly Schedule:

To pass CFA level 1 exam, the candidate should be dedicated enough to prepare for CFA. Candidates are advised to take CFA level 1 Online Coaching to get access to the study material as well as the faculty will give you guidance on how to plan for CFA level 1 preparation.

Before making weekly schedule, prepare your schedule for the first four months.  

Maintain Priority List:

CFA candidates are either working professionals or students. Working professionals can manage their CFA level 1 online coaching on weekends.

Understand The Subjects:

How much time the candidate should devote to CFA level 1 subjects?

Subjects	No. of hours to be devoted
Ethics	6 hours
Quants	15 hours
Economics	20 hours
Financial reporting and analysis	30 hours
Fixed income	20 hours
Equity	20 hours
Alternative Investment	5 hours
Portfolio Management	15 hours
Derivatives	6 hours
Corporate issuer	14 hours

Subject Wise Revision:

Once you finish one subject and start with the new one, don't forget to revise the previous subject as it will help you gain confidence.

Until and unless you are not able to score well in your previous subject do not move to the next.

Use Flashcards For Concepts:

You can create flashcards for different concepts as it helps in revising the concepts. 

Practice Multiple Questions:

To pass the CFA exam, practice various questions. For example - if you practice 30 questions per day, you end up doing 5400 questions till the final examination. 

Full-length Mock Tests:

Once you are thorough with CFA curriculum, start with full- length mock test to know your weak areas.

Final Revision:

Keep revising all the concepts thoroughly as the CFA exam is 60% knowledge-based and 40% application-based. 

Exam Day:

Finally, on the exam day follow these:

• Get your Passport, Pen, Pencil, and calculator.
• Take proper sleep.
• Revise broad concepts 
• Start with easy questions and theories. 
•  Attempt all questions as there is no negative marking.
• Use techniques like Odd one out and closest answers.

CFA Scholarship: -

CFA exam is a computer-based exam and CFA Level 1 Exams are held four times a year in February, August, and November, May.

The CFA Institute provides different types of scholarships

• Access scholarship
• Women scholarship
• Student scholarship
• Professor scholarship
• Regulator scholarship

You can visit the CFA Institute website for more details. (The candidate can apply for scholarships only once for each level).  Hope this information will help you in passing CFA level 1 on  first go.