Syllabus Of CFA level 1 and Important 2022 Changes that matter – Allen Aravindan,CFA

This article will simplify, solidify and clarify all your questions related to CFA level 1 syllabus that might be confusing you or may be scaring you too. So lets get started right away. I am going to divide this discussion in the following sections, you may skip to the part that is more suitable for you.

Index

Syllabus for CFA level 1 2022

The syallbus of CFA level 1 is divided across 10 subjects or topics, and the number of topics don’t change between level 1 and level 2. However the weightage and depth of the cotnent will change. The ten topics are given below and I have covered in basic what it covers , the difficulty level and its importance for the CFA level 1 exam

TopicsWeightage Level IWhat it CoversDifficultyImportance
Ethics and Professional standards 15-20%Investment conflicts as a managerEasy but Needs consistent reading High
Quantitative Methods 8-12%Financial mathematics and statstics Hypothesis testing can be difficult for newbees in statsHigh
Corporate Issuers 8-12%Capital budgeting conceptsEasy High
Economics 8-12%Macro and microLengthy and boringModerate
Financial statements analysis13-17%Basic accounting and analysisEasy but very vastHigh
Fixed Income10-12%Bonds types and valuationModerateModerate
Equity Valuation10-12%Equity markets and valuationEasyModerate
Derivatives5-8%Derivative types, uses and pricingCharts can be difficultLow
Alternative Instruments5-8%Overview and usesEasyLow
Portfolio Management5-8% Overview and theoryModerateLow
Syllabus of CFA Level 1

Changes in CFA level 1 Syllabus 2022 from 2021

TopicsWeightageDeletionNew Readings
Ethics and Professional standards 15-20%GIPS Chapter is goneEthics application
Quantitative Methods 8-12%Statistical concepts is goneLinear regression /Data visualisation
Corporate Issuers 8-12%A lot of LOS are re arrangedCapital structure
Economics 8-12% Minor Updation
Financial statements analysis13-17%Minor Updation
Fixed Income10-12% Minor Updation
Equity Valuation10-12% Minor Updation
Derivatives5-8%
Alternative Instruments5-8% Minor Updation
Portfolio Management5-8% Minor Updation Behavioral Biases of Individuals
Changes in CFA level 1 sylabbus 2022

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Most frequent question related to CFA level 1 syllabus

Is CFA level 1 Difficult?

The answer is no, CFA program is more comprehensive and demands your time and dedication. Give it its worth of 300 hrs preperation and your will clear it

How much time does it take to study for the CFA level1 syllabus?

Calculated in months, you should start your preperation atleast 4 months prior to the exam day.

How is the CFA level 1 exam graded?

The right and wrong correction focourse is now automated but the minimum passing score is decide by charterholders basis how much an average candidate could score on the entire exam. You can check a more detailed preperation strategy on this article

Tips for studying CFA level 1 to pass in one attempt

  1. Start Early: Don’t delay your preperation just because the exam look far.CFA Exam is like training for a marathon, you can’t run marathons in one day preperation
  2. Focus on Learning outcomes: Don’t just look at topic headings but the exact expectation of the learning outcomes, will save you a lot of time and energy and will also keep you focussed.
  3. Practice from CFA portal: CFA institute provides its own learning portal and the questions are good. As soon as you are done with the reading, focus on consistent practice.
  4. Practice completed topics: Once you are done with a subject make sure you are practicing atleast 10-15 questions everyday. This will things fresh and you wont forget concepts.
  5. Dont Assume:Dont assume you know the subject or topic, CFA institute is known to get dirty with little things which you might assume you already know. Infact I have seen a lot of CPA’s , CA’s and MBA’s failing the exam because of overconfidence.
  6. Refere the Original CFA Curriculum:The original curricul is deep and gives you a lot of perspective. Yes it can be lenghty but do you want to learn CFA and then embarass yourself in the interviews? Added to that it gies a lot of peace that you are reffering the best content.
  7. Don’t Over focus on calculation and calcualtor: Its much easy to answer a calculative question than a conceptual question with no calculation at all. Thats exactly what CFA exam will feel like.For eg any student can calculate standard deviation but only a few can answer its relevance and problems.
  8. Calm Down: Dont obsess on the result, tis a journey. Life doesnt change after CFA, and it takes time to become expereinced in this industry. So focus on learning.

Concluding Remarks

In terms of the CFA syllabus changes, a lot of costmetic changes have happened but nothing very drastic or game changing. In terms of the CFA syllabus, I think the syllabus has a lot of demand from the candidate to master, which requires consistency and effort but not very difficult if you have a game plan.So best of luck and reach out for any questions and suggestion you might have for this post. Best of luck.

ALLEN ARAVINDAN,CFA
ALLEN ARAVINDAN,CFA

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