CFA Level 3 Exam - How to Pass

Summary

This video shares key strategies for passing the CFA Level 3 exam, with a focus on the challenging essay portion. The presenter emphasizes the importance of time management, suggesting that candidates practice old exam questions and familiarize themselves with the grading rubric. Concise, bullet-point answers are crucial for efficiency. The video also advises working through the exam from easy to hard questions, focusing on precision and clarity. The presenter suggests reviewing past material, practicing explaining answers to others, and using CFA Institute’s materials. Overall, mastering the writing section is vital for success in this competitive exam.

Takeaways

• 😀 Time is your greatest enemy on the CFA Level 3 writing section. Manage it carefully to avoid leaving questions blank.
• 😀 The writing section is not about long essays. Focus on providing concise, bullet-pointed answers.
• 😀 Practice with past CFA exam questions and grading rubrics to get familiar with the exam format.
• 😀 Make sure to use the exact terminology from the grading rubric to avoid wasting time on unnecessary content.
• 😀 Answer all questions, even briefly, to maximize your score. Do not leave questions unanswered.
• 😀 Skip difficult or time-consuming questions and come back to them later. Focus on easy questions first.
• 😀 For the multiple-choice section, time pressure is less intense, so read questions carefully to avoid mistakes.
• 😀 Stick with CFA Institute’s study materials, as they are more manageable and tailored for Level 3 preparation.
• 😀 Deep understanding of concepts, frameworks, and definitions is crucial. Pure memorization won't suffice for Level 3.
• 😀 Repetition is key: review previous material at the start of study sessions to reinforce what you've learned.
• 😀 Practice explaining concepts to others, as teaching helps you retain information better than passive reading.

Q & A

What is the most important tip for passing the CFA Level 3 exam?

The most important tip is to focus on mastering the essay portion of the exam, as it presents the biggest challenge for most candidates.

Why is time management critical in the CFA Level 3 exam?

Time management is crucial because many candidates struggle to finish their answers within the allotted time, leading to missed points, especially in the essay section.

How should candidates approach answering questions in the essay portion?

Candidates should avoid writing long essays. Instead, they should use concise bullet points, focus on the key points, and ensure they answer every question, even if it’s brief.

What is the recommended method for preparing for the essay section?

The recommended method is to practice using old exam questions under timed conditions. Reviewing the grading rubric afterward ensures that answers meet the required criteria.

Why is it beneficial to practice with old CFA exam questions?

Practicing with old exam questions helps familiarize candidates with the exam format, required terminology, and the types of questions they may encounter, allowing for targeted practice.

How can candidates avoid wasting time in the essay section?

Candidates should avoid writing unnecessary information or focusing on grammar. They should also practice keeping answers concise and to the point, sticking strictly to what’s asked.

What should candidates do if they don’t know how to answer a question during the exam?

If a question is too difficult or time-consuming, candidates should skip it and come back to it later. It's more efficient to work on easier questions first.

What is the best strategy for answering multiple-choice questions in Level 3?

For multiple-choice questions, candidates should read each question carefully, as time pressure is less intense, and focus on understanding the material rather than memorization.

What study materials are recommended for Level 3 candidates?

The CFA Institute’s official study materials, especially the end-of-chapter questions and blue boxes, are recommended for Level 3 as they cover the most relevant and important content.

What is the importance of reviewing previous study material before starting a new session?

Reviewing material from the previous day before starting a new study session reinforces memory and improves retention, making it easier to recall information during the exam.