The 7 BIGGEST Mistakes I Made While Studying for the CFA Exams

Summary

The speaker reflects on their CFA exam journey, highlighting seven key mistakes made during their study process. These include insufficient note-taking, avoiding difficult sections, feeding off fear, neglecting physical health, mishandling ethics preparation, lack of transparency with others, and the detrimental impact of phone distractions. The speaker emphasizes the importance of active learning, seeking alternative resources, maintaining a positive mindset, and prioritizing health and communication for a successful CFA exam experience.

Takeaways

• 📝 Take detailed notes while studying to enhance retention and recall of information.
• 🚫 Avoid completely skipping sections of the study material, as it may lead to gaps in understanding.
• 😨 Recognize that fear can be a motivator, but excitement for success can lead to a healthier study mindset.
• 💺 Pay attention to physical posture and ergonomics during long study sessions to maintain health.
• 📚 Treat ethics as you would other subjects, with a focus on practice questions rather than just reading.
• 🤔 Reflect on the approach to studying ethics, ensuring to understand the application of ethical standards through practice.
• 🤐 Consider the impact of not sharing your study goals with others, as it may affect support and personal accountability.
• 📱 Keep distractions like cell phones away during study sessions to maximize focus and efficiency.
• ⏰ Be aware of the time wasted on distractions and how it can significantly impact study outcomes.
• 🔄 Learn from the speaker's experience of balancing study with life, and the importance of transparency with loved ones.
• 🔑 Understand that the speaker's biggest mistake was keeping the phone nearby, which can be a significant hindrance to study effectiveness.

Q & A

What is the main topic of the video script?

The main topic of the video script is the seven biggest mistakes the speaker made while studying for the CFA exams and how to avoid them.

What was the speaker's first mistake regarding note-taking during the CFA exam preparation?

The speaker's first mistake was not handwriting enough notes while going through the content, which affected the retention of information.

Why is writing out the thought process important during video lessons according to the speaker?

Writing out the thought process is important because it helps replicate the brain's thought process when absorbing information, making it easier to recall and solve problems later on.

What does the speaker suggest about the quantity of notes one should take?

The speaker suggests that while taking notes is important, it should not be overdone to the point of transcribing entire lectures, which is inefficient.

What was the speaker's strategy for dealing with difficult sections like the derivative book in Level 2?

The speaker initially skipped the difficult section on valuing currency swaps in the derivative book, but later realized that seeking alternative resources or spending more time understanding the material would have been better.

How did the speaker's motivation to pass the CFA exams affect their study habits?

The speaker's motivation was largely driven by fear of failure, which led to intense study sessions, including late-night studying, rather than excitement about passing.

What impact did the speaker's physical posture have on their study experience?

The speaker's physical posture, which involved hunching over a non-ergonomic chair, led to neck and upper back pain, highlighting the importance of maintaining good posture during long study sessions.

Why did the speaker initially struggle with studying for the ethics section of the CFA exams?

The speaker struggled because they treated ethics as a separate entity, focusing more on reading content rather than practicing questions, which is less effective for understanding and applying the ethical concepts.

What was the speaker's approach to studying ethics in Level 3, and why was it effective?

In Level 3, the speaker started treating ethics like all other sections by doing a lot of practice questions, which helped in understanding the application of ethical concepts through trial and error.

Why did the speaker choose not to share their CFA exam preparation journey with many people?

The speaker chose not to share due to the statistical difficulty of passing the CFA exams and the fear of over-promising and under-delivering, which could lead to additional pressure and potential disappointment.

What was identified as the speaker's biggest mistake during CFA exam preparation, and why was it so detrimental?

The biggest mistake was keeping the phone by their side during study sessions, as it led to frequent distractions that wasted significant time and could potentially affect the outcome of the exams.

Outlines

00:00

📝 The Importance of Note-Taking in CFA Exam Preparation

The speaker reflects on their experience with the CFA exams, highlighting the crucial role of active note-taking during video lessons. They emphasize the retention of information through writing down key concepts and thought processes, which aids in recalling complex problem-solving methods later on. The speaker also shares their realization that excessive note-taking can be counterproductive, suggesting a balance is necessary. They promote their video course for an in-depth look at their study strategies, including how to optimize time effectively for the exams.

05:00

🚫 Avoiding Common Pitfalls in CFA Exam Study

This paragraph discusses the mistakes made while studying for the CFA exams, such as skipping entire sections due to difficulty, which the speaker later regrets. They advise against giving up on challenging topics and recommend seeking alternative resources or approaches to understand them. The speaker also touches on the negative impact of fear as a motivator, suggesting that excitement for passing should be the primary driving force. They share personal anecdotes about how fear affected their study habits and the importance of maintaining a healthy physical posture during study sessions.

10:02

🧘‍♂️ The Impact of Physical Health and Ethics Study Methods

The speaker addresses the neglect of physical health during the study period, recommending maintaining good posture and ergonomic conditions to prevent pain and discomfort. They also share insights on the ineffective approach they initially took with ethics, focusing too much on reading rather than practicing. The speaker advocates for treating ethics like other sections with a strong emphasis on practice questions to better understand the application of ethical standards in real exam scenarios.

15:03

🤳 The Detrimental Effects of Distractions During Study

The final paragraph delves into the personal impact of keeping a phone nearby during study sessions, which led to significant distractions and loss of valuable study time. The speaker quantifies the potential hours lost due to phone usage and argues that this could be the difference between passing and failing the exams. They advise keeping the phone out of reach and being transparent with friends and family about the commitment required for CFA exam preparation to avoid unnecessary social pressure and to gain support.

Keywords

💡CFA exams

The CFA exams refer to the Chartered Financial Analyst qualification exams, which are a series of three rigorous tests administered by the CFA Institute. These exams are known for their difficulty and are a key step for professionals seeking to demonstrate their competency in the field of finance and investment analysis. In the video, the speaker discusses their experience and mistakes made while preparing for these exams, emphasizing the importance of a strategic study approach.

💡Study strategy

A study strategy is a plan or method one uses to learn and retain information, particularly for exams or complex subjects. In the context of the video, the speaker reflects on their study strategy for the CFA exams, pointing out the errors they made and offering advice on how to improve, such as taking detailed notes and avoiding distractions like cell phones.

💡Note-taking

Note-taking is the act of recording information during a lecture, while reading, or during any learning process. The speaker in the video mentions the importance of note-taking, particularly the act of writing out main topics and bullet points, as well as the thought process during learning, to enhance information retention and recall.

💡Mental recall

Mental recall refers to the ability to remember and reproduce information from memory. The video discusses how writing notes can improve mental recall by allowing the learner to trace the steps their brain took during the learning process, which is crucial for recalling complex financial concepts from the CFA exams.

💡Escaping a section

In the context of the video, 'escaping a section' refers to the decision to avoid studying a particular part of the material due to difficulty or lack of understanding. The speaker shares their experience of skipping a section on currency swaps in the Level 2 exam, which they later regretted, advising viewers to seek alternative resources or methods to understand difficult topics.

💡Fear of failure

Fear of failure is the anxiety or dread associated with the possibility of not achieving a desired outcome. The speaker admits to being driven by this fear while studying for the CFA exams, which led to late-night study sessions and a focus on avoiding failure rather than the excitement of success. This keyword is used to illustrate the emotional challenges faced during exam preparation.

💡Physical posture

Physical posture refers to the way a person holds their body, particularly when sitting or standing. The video mentions the negative impact of poor posture during long study sessions, such as the speaker's experience with neck and back pain, underscoring the importance of ergonomics and maintaining good posture for health and concentration.

💡Ethics

In the CFA exam context, 'Ethics' refers to a section of the curriculum that focuses on professional conduct and ethical decision-making in finance. The speaker discusses their approach to studying ethics, noting that they initially focused too much on reading and understanding concepts rather than practicing with questions, which is crucial for success in the exam.

💡Practice questions

Practice questions are exercises that simulate real exam questions and are used to prepare for exams. The video emphasizes the importance of doing practice questions for all sections of the CFA exams, including ethics, to familiarize oneself with the exam format and to reinforce learning through trial and error.

💡Transparency

Transparency in this context means being open and honest about one's actions or intentions. The speaker reflects on their decision not to share their CFA exam preparation journey with many people in their life, which led to misunderstandings and a lack of support. The keyword is used to highlight the importance of communication and openness in achieving personal goals.

💡Cell phone distraction

A cell phone distraction refers to the interruption of focus and attention caused by the presence or use of a mobile device. The video identifies keeping a cell phone nearby during study sessions as a major mistake, as it led to wasted time and reduced study efficiency. The speaker advises keeping the phone out of reach to minimize distractions and maximize study time.

Highlights

The speaker passed all three CFA exams on the first attempt but acknowledges their study strategy was not perfect.

One of the seven biggest mistakes made was not handwriting enough notes during the study process.

Writing out important concepts was found to be more effective for retaining information.

The speaker emphasizes the importance of replicating the thought process during learning for better retention.

Avoiding overkill in note-taking, striking a balance between too little and too much.

The speaker offers a video course detailing their optimized CFA study strategies.

Escaping a section entirely was a mistake made during the preparation for the Level 2 exam.

The recommendation to allocate more time or seek alternative resources for difficult topics.

The negative impact of feeding off fear rather than excitement during the study process.

The importance of maintaining a healthy physical posture during long study sessions.

Misunderstanding the approach to studying ethics, focusing too much on reading rather than practice.

The effectiveness of practice questions in understanding and applying ethical concepts.

The personal impact of not being transparent with others about the CFA study journey.

The recommendation to be open with family and friends to avoid unnecessary misunderstandings.

The number one mistake made was keeping the phone nearby, leading to significant distraction.

The tangible impact of phone distractions on study time and the potential difference in exam outcomes.

The suggestion to physically separate from the phone during study sessions to improve focus and efficiency.

Transcripts

I passed all three CFA exams on the

first attempt taking them but my study

strategy was definitely not perfect here

are the seven biggest mistakes that I

made while studying for the CFA exams

don't do what I did number seven is not

handwriting enough notes while I was

going through the content now maybe you

read the CFA curriculum maybe you read

study notes from a test prep provider or

maybe you do what I did which is watch

video lessons from a test prep provider

I found that over time I was able to

retain more of the initial information

as it was being taught to me Fresh brand

new some of these things I had never

heard before I was able to retain more

of that if I took the time to write out

the most important general concepts from

that information that I was learning I

realized this throughout studying for

the level 1 and level 2 exams so I got

pretty good at this by the time I Was

preparing for level three and what I did

during my level 3 prep is as I was

watching those video lessons I wouldn't

only write down the main topic of the

loss and then a couple bullet points I

would actually write out the thought

process my brand was going through as I

sort of absorbed the information that

was pretty critical because anytime I

was unsure on how to answer one of the

practice questions that was presented to

me or more importantly three months

later when I was doing a final review

and going back through this old

information that I had just learned

while watching those video lessons I was

able to sort of replicate the thought

process my brain had to go through to

absorb all that stuff and for whatever

reason the human brain the way it

recalls information if you're able to

trace your steps so to speak throughout

a learning process you're going to be

much more efficient at remembering how

it is that you learned that information

and then ultimately actually remembering

how to solve the problems that you need

to solve so writing out a little bit

more as I was watching these video

lessons not being lazy and sitting back

for four or five minutes just listening

although I might have learned a little

bit it was much more helpful if I was

active in my note take taking and made

sure to write out the processes my brain

went through but just to be clear I

don't recommend writing like 20 pages of

notes for every chapter or something

some people actually use that strategy I

think it's just Overkill it just turns

into like a a practice of transcribing

things really quickly and in my opinion

it's really inefficient so right enough

but not too much quick plug for myself

if you want to walk through of every

single little detail that I optimized

and practiced to sort of perfect my CFA

study strategies I now offer a video

course where I go through every little

step along my CFA study journey and how

I felt that I optimized the time that I

spent so that someone with sort of an

average intelligence could actually pass

all the exams the link for that video

course is in the description down below

the next one was something I had to do

on a necessity but it's definitely not a

good idea if you can avoid it and that

was escaping a section an entire Los

actually and for me that was in the

level 2 derivative book the section on

valuing currency swaps and I think

pricing some of the currency swaps I

read the information I watched the video

lesson but I was never able to get any

of this stuff actually absorbed into my

brain or understood so when I was in the

final six weeks of a review and I was

doing mock exams and looking back

through practice questions I wasn't

answering any of these questions right I

think I spent maybe a day and a half so

for me that was four and a half hours

going back through those video lessons

in the curriculum and the CFA books to

try to comprehend those very difficult

questions at least they were very

difficult for me I just ended up

deciding in the last five weeks before

the level two exam I wasn't learning

enough new information that could

potentially help me enough on the exam

answer more questions right so I just

skipped it and said my next four weeks

can be used studying more material that

is on topics I can actually probably

comprehend in my brain get myself

sharper on answering those things more

accurately and then of course the last

week before the CFA exam I go into my

final week prep but the point is it's

not optimal to write off a section

completely and go well I can't figure it

out I'm just not going to study this

anymore if I had to do again I would

have just allocated a little bit more

time and maybe like bought a mark

Meldrum video or something because since

that point I later heard that he is like

the master of teaching that concept I

would have looked for other resources

spent more time figured out a different

way than what I was currently doing to

actually understand that material so

that if the questions came up on my real

exam I could have answered them

correctly number five is that I spent a

good amount of time feeding off of fear

I had a few different motivations

throughout studying for the CFA exams

things that kept me focused and

determined the biggest one just being

the motivation to stick to the plan that

I laid out which is something that I

covered in my video course but a lot of

the time that I was like really engaged

in studying it was out of the fear of

failing I was so focused on not only

putting in my full effort but trying to

get to the point where my full effort

would be enough for a past result I

really didn't want to fail I didn't talk

about it that way publicly which I'll

talk about also later in this video but

the point is I was scared that I was

going to fail and I let that be a big

motivating factor which isn't

necessarily bad but it would have been

much better to be more like excited

about the prospects of passing and let

that be a primary motivating factor

there were a handful of nights and I can

remember a few of them specifically

where I would wake up in the middle of

the night not necessarily from like a

nightmare but I would just kind of wake

up in the night go to the bathroom

whatever it's 3 A.M and I would start

thinking about what I'd studied that day

or just the exam that might be coming up

in in months from that point and I would

start to become really fearful and

become very energized and my brain would

just be on like a light switch and go

okay it's time to study so I would study

for like two hours from time to time in

the dead center of the night and then

try to go back to sleep after that

sometimes I think successfully and other

times not but the point is I just let

that worry or fear of not passing become

a little bit more helpful in my heart

than the the excitement of potentially

passing and so if I could have shifted

the emotional balance a little bit there

I think it would have been a bit

healthier during my studies the last

point on that is that if you are driven

by like the excitement you'll probably

go through that material or each study

session each day with more confidence

and confidence is a much better mental

state to be in than like nervousness 95

of the time it's going to allow you to

be more calm more relaxed and and also

just you know I think I don't know how

to describe it other than you'll be more

confident in what you're learning and

and your chances of passing so it just

all in all could have been done a little

bit better the next one is that my

physical posture really suffered during

this three-year period of my life I was

actually in really good shape before

starting the CFA exams I lifted weights

and ran a lot during college and then

when I started studying for the exams

I'm not blaming the CFA program I really

adopted more of like a lazy sedimentary

lifestyle during that three to four year

period specifically every day a for that

three to four hour session when I sat

down in the at the little desk in my

house I was like I was like studying

like like this all the time I think just

hunched over I had like a horrible chair

it wasn't an ergonomic chair I had a lot

of neck pain some upper back pain at

that time and and actually some shoulder

pain because I was like I was like

resting my arms to the sides all the

time anyway I just I spent about zero

effort towards actually trying to keep

myself healthy even though I was sitting

for really long periods at a time

anything you do in life is going to feel

better if you can keep your body healthy

while you're doing it and feel better

about you won't have any aches and pains

you'll just feel better about yourself

in general so I'd certainly recommend

actually considering how it is that you

physically carry yourself while you're

doing these long study sessions for

years and years and years at a time

number three this is also something that

I didn't do well in levels one and two

during the prep for those but I sort of

started to figure this out and when I

was studying for level three I think I

did this pretty well that was that I

wasn't studying for ethics correctly I

was I was sort of treating ethics like

its own separate thing separate from the

other 10 books in the CFA program or 11

books because of the nature of what

ethics is and because it just runs

through these scenarios and it asks you

about these like psychological problems

or ethical problems it doesn't involve a

lot of math or any math at all I said

okay I need to tackle this in the way

that it's being presented and really

like Ponder on on ethics and so what I

ended up doing is what I think a lot of

people do and I would just I would like

re-read all of the the ethical standards

and I would read examples on how the

ethical standards get applied but I just

spent a lot more time like passing

through content when I was studying for

ethics rather than doing practice

questions that was my big mistake in

studying ethics I spent more time

reading than I did practicing at the end

of the day that's what it amounted to

and with all the other sections I did a

lot of practice questions I was always

doing the eocs practice quizzes through

my provider blue boxes mock exams all

those things I would I would reuse those

practice questions as more practice and

for the reasons I mentioned earlier I

felt like all that practice was not the

right strategy when studying ethics

maybe I read that in a forum when I when

I was an early CFA candidate at one

point that that's totally wrong in my

opinion it is optimal to study for

ethics through practice questions

because you can understand the ethical

Concepts that the Institute teaches it's

just so obscure and you'll know what I'm

talking about if you've ever taken a

real CFA exam the way that they ask

these questions can be so obscure that

the question is only going to seem to

partially relate to some ethical

standard that you've read about in the

past I specifically remember some

questions actually I remember the exact

same questions the exact question still

that I wouldn't have gotten right I'm

saying that I got some questions right

on my real CFA exams not because I had a

great understanding of the ethical

Concepts but rather that I had practiced

some random questions four months prior

that actually aligned almost exactly

with the question I was presented with

on my exam you got to know the concepts

read them once or twice but don't treat

ethics as a totally separate thing my

recommendation is to treat it just like

all the other sections where you read it

but then you just do a ton of ton of

practice questions just like everything

else ethics is best learned through

trial and error and that's done

answering practice your questions

getting them wrong figuring out what the

Institute wanted you to do in each

situation and then correct it and know

how to answer it right the next time

number two on our list is a little more

personal one to me this may or may not

apply to your life directly I was not

telling many people in my life very very

few people actually at all what I was

really engaging in the three years that

I was studying for CFA exams and it was

because I understood the statistical

reality of the CFA program that like 10

or less of level one candidates

ultimately become Charter holders and I

felt like I was probably less

intelligent than the average

charterholder out there although I was

determined to put in 100 effort which I

understood to be more than what some

candidates were doing I just I didn't

want to take like passing the exams for

granted and I specifically did did not

want to tell a lot of people family

friends that I was doing this thing

because I just know how people are when

they're friendly and they like you and

they care about you they just ask all

the time they ask questions like hey

how'd that thing go how are you doing

how's the job going how's your career

progressing were you studying for

something did you pass it did you get

this license nobody really knows what it

is you're going through when you're

studying for the CFA exam so they just

they're not going to understand the

difficulty in the statistical

unlikelihood of passing all these exams

they'll make comments like you got this

I know you can do it you're smart you

know you're going to pass these things

and I just didn't want to hear all that

and then not pass the exams and I don't

think I would have necessarily felt like

guilty I didn't want to over promise and

under deliver in what people sort of

expected of me in my career or my

outcomes I think is is probably why I

did this but that was sort of out of

fear as well or maybe pride and if I had

told more people what I was doing maybe

they could have been encouraging or or

when I wasn't showing up at friends

houses or family events or things they

would have been like not mad at me

sometimes not that people were mad at me

all the time but from time to time it

happened because you have to sacrifice a

lot to prepare welder for the CFA exams

so there were just things in my life

that probably would have went better

over that three year period had I told

more of my family and friends about what

it is exactly that I was I was pursuing

at the time and maybe if I had failed

the exams I'd be glad that I didn't do

that but ultimately even if I did tell

everyone and failed it would have been a

little hit to my ego but maybe I still

would have had like a better experience

during my studies so I would recommend

just be transparent with people in your

life about what you're actually doing

all right thanks for sticking around to

the end the number one biggest mistake

and I believe this bar none this is the

biggest mistake I made while studying

for the CFA exams it's also a huge

mistake I think people make throughout

many walks of life and that is that I

kept my phone right by my side the whole

time obviously cell phones are a major

distraction and when you're doing

something very difficult like this CFA

exams are studying for them something

that requires a lot of focus and most

importantly on this topic requires a

whole lot of time of you getting

distracted on your cell phone for three

to five minutes even if it's only once

an hour it creates huge huge problems

for your studies just do the math if you

picked up your phone for three minutes

every once in a while while you're

studying and if you pick up your phone

once an hour it's going to feel like oh

I'm barely looking at my phone you're

not going to think about it but three

minutes once an hour on a three hour

study session which I did every day for

six months that adds up to 30 hours at

the end of your six month period that's

a whole lot of time and that 30 hours is

either going to bite you for one of two

reasons you are gonna sort of be lazy

with that missed opportunity or that

missed time and you're not going to make

it up and you're going to have spent 30

hours less studying so instead of 400

you did 370 well that's like eight

percent less time spent studying and

assuming your time spent studying is

beneficial and you're learning things

that means that you're going to know

eight percent less that can definitely

make the difference between passing and

failing I would argue that the best vast

majority of people who passed the CFA

exams do so by a margin of less than

eight percent most people who could

become CFA chart holders if they spend

just 10 minutes a day on their phone

while they're studying may not I mean

it's as simple as that keeping your

phone by your side can be the difference

between becoming a charterholder or not

now the other way this can really bite

you is if you did what I did which is

probably the better route but the more

time consuming route and that's that if

I would spend five minutes or eight

minutes texting someone even though I

got a phone call especially if I got on

Twitter or YouTube I would kind of make

notice of that and be like oh shoot I

wasted 12 minutes or shoot I wasted 18

minutes this time and I would tack those

minutes on to the end of my study

schedule so I had a lot of study

sessions that were supposed to end at 9

30 pm and I would be going till 10 12 or

10 pm and I'd go to 10 44 if I spent a

lot of time distracted so it just costed

me a whole lot of extra life that I

could have spent like either getting

more sleep or spending with my my wife

or doing other things that are

productive cleaning things around the

house things that would make you feel

good and and get up ready the next

morning to tackle that day there are

just so many better things to do with

your time then scroll on Twitter or or

watch a funny video or something if you

study with your phone by your side like

I did you you're just making a huge

mistake I recommend just before you sit

down every day to study for the CFA

program set your phone on your kitchen

counter and then go into another room

and don't think about it for the three

hours or even the eight hour study

session if it's a weekend something like

that you're gonna thank me later if you

have any comments or questions please

let me down below I'll get back to all

of them and as always

thanks for watching