CFA is not for everyone to complete and crack the examination. It requires hours of preparation and commitment in addition to a lot of effort to succeed. Even many candidates with a finance background find it difficult to succeed in the CFA level 1 exam. With the vast and extensive curriculum that is part of the CFA preparation, candidates find themselves undergoing hours of a gruelling process. As recommended by experts, guides and successful candidates the preparation for CFA requires around 300 hours of preparation time to clear the exam with a significant percentile. However, for help and guidance with the extensive curriculum candidates can enrol with cfa level 1 online course.
The CFA course is designed to let candidates have insight into contemporary financial tools and topics, and this idea and knowledge can help in acquiring a successful financial career. The CFA curriculum is comprehensive and is composed to convey the fundamentals of accounting and finance. The topics on the CFA curriculum are updated from time to time to keep up with the ongoing financial trends. However, candidates have the access to cfa level 1 videos and materials while enrolling on an online course that helps them prepare better and efficiently.
If you are one of the candidates appearing for the CFA level 1 exam, here are for you the course details to have an idea of the extensive curriculum:
Ethical and Professional Standards: With a weightage of around 15% to 20% this is the topic with a major part in the CFA program. This topic is designed to incorporate possible standards and ethics in the investment sector.
Quantitative Methods: With around 8% to 12% weightage, this topic is devised to introduce the quantitative techniques and concepts that are used in financial analysis and investment decision-making.
Economics: Economics has a weightage of around 8% to 12% in the CFA level 1 exam. The curriculum is focused on microeconomics and macroeconomics and also the understanding of the fundamentals of the foreign exchange concepts.
Financial Reporting and Analysis: This topic has a weightage of around 13% to 17% in the CFA level 1 exam. The syllabus is designed to focus on the fundamentals of financial analysis that helps in examining a company’s economical performance.
Corporate Finance: Corporate Finance has a weightage of 8% to 12% in the CFA level 1 examination. The topic is devised to educate candidates on the various strategies that can be implemented in corporate investment to increase shareholder value. The curriculum includes topics like portfolio management and working capital management among others.
Equity Investment: With a weightage of 10% to 12% this course is designed to provide knowledge on how equities, fixed income derivatives, alternative investments and other derivatives trade in the markets.
Fixed Income: This area covers a weightage of 10% to 12% and is designed to cover the investments which are devised to bring scheduled repayment and a fixed income. The fixed income topic is important to study the capital market effectively.
Derivatives: With a weightage of 5% to 8% the Derivative topic is designed to give a conceptual idea of understanding the derivatives.
Alternative Investments: This topic too comes with the weightage of 5% to 8% and focuses on the study of alternate investment structures like hedge funds, private capital, natural resources, real estate, and infrastructure. The knowledge of Alternative investment is instrumental in devising supplementary strategies of investment.
Portfolio Management: Portfolio Management has a weightage of 5% to 8% in the CFA level 1 exam. This topic helps future financial advisors to understand the needs of the client and prepare an investment policy statement as the first step toward portfolio management. The other steps include asset allocation, security analysis, portfolio construction, portfolio monitoring and rebalancing along with performance reporting and management.
These 10 topics constitute the CFA curriculum and the weightage of the topics varies in the 3 levels of the exam. While preparing for the level 1 exam with cfa level 1 online course, candidates can understand that level 1 of the CFA exams only deals with the basics of the concepts. Levels 2 and 3 give a detailed knowledge of these topics to develop the candidates into responsible financial advisors and become instrumental in using the financial tools effectively. The level 1 curriculum is devised to introduce the topics which are further developed and detailed throughout the other levels. In short, the topics that are introduced in the level 1 curriculum of the CFA are designed to provide the candidates with effective financial knowledge for a successful financial career.
The vast and extensive curriculum of CFA may seem to be tiring and intimidating with information but it paves the way for a future worth the efforts and commitment. The most effective way to complete the curriculum in time and be exam ready is to enrol on an online course and benefit from the materials, lectures and cfa level 1 videos. Give yourself enough time for preparation and invest a significant amount of time in revision and practice to achieve the goal.