How to Create an Effective CFA Study Plan for Success

Preparing for the CFA exam can be an overwhelming journey, but an effective CFA study plan can make the process smoother and increase your chances of success. With three challenging levels to tackle, proper planning, discipline, and strategy are essential.

In this blog, we’ll break down the steps to craft an effective CFA study plan into a practical, easy-to-follow listicle. Let’s dive in!

1. Understand the CFA Exam Structure

Before you create a study plan, it’s crucial to familiarize yourself with the CFA exam structure. The program is divided into three levels, each testing specific skills and knowledge:

• Level I: Focuses on basic knowledge and comprehension, covering a wide range of financial concepts and tools.
• Level II: Emphasizes application and analysis, particularly in valuation.
• Level III: Centers on portfolio management and synthesizing knowledge from the first two levels.

Understanding the scope of each level will help you allocate time appropriately in your CFA study plan.

2. Start Early and Set a Realistic Timeline

CFA exams require a significant time investment. The CFA Institute recommends a minimum of 300 hours of study per level. Here’s how to structure your timeline:

• Begin your preparation 6-9 months before the exam.
• Break down your study hours into weekly targets. For example, aim for 10-12 hours per week.

By starting early, you can pace your learning without feeling overwhelmed.

3. Gather the Right Study Materials

Your CFA study plan is only as good as your study resources. Here’s what you’ll need:

• CFA Institute Curriculum: The official resource for all topics.
• Third-Party Providers: Materials from reputable companies like Kaplan Schweser, Wiley, or Bloomberg.
• Practice Questions and Mock Exams: Crucial for testing your knowledge and exam readiness.

Invest in tools that suit your learning style and ensure they’re updated with the latest curriculum changes.

4. Set Clear Goals for Each Study Session

Instead of vague plans like “study for 2 hours,” set specific goals for every session, such as:

• Completing one reading.
• Practicing 20 multiple-choice questions.
• Summarizing a topic in your own words.

This approach keeps your study sessions focused and productive.

5. Divide and Conquer: Break Down the Curriculum

The CFA curriculum is vast, but manageable if broken into chunks. Divide your study plan into these key topics:

CFA Topics and Their Weightings:

• Ethics and Professional Standards (15–20%)
• Quantitative Methods (8–12%)
• Economics (8–12%)
• Financial Reporting and Analysis (13–17%)
• Corporate Finance (8–12%)
• Equity Investments (10–12%)
• Fixed Income (10–12%)
• Derivatives (5–8%)
• Alternative Investments (5–8%)
• Portfolio Management and Wealth Planning (10–15%)

Allocate study time based on the topic weights and your strengths/weaknesses.

6. Use Active Learning Techniques

Passive reading isn’t enough for the CFA exam. Use these active learning methods in your CFA study plan:

• Practice Questions: Solve as many as possible to test your understanding.
• Flashcards: Perfect for quick revisions of formulas and definitions.
• Concept Mapping: Visualize relationships between topics to improve retention.

Active learning enhances understanding and helps you retain information longer.

7. Schedule Regular Review Sessions

Don’t wait until the last few weeks to revise. Include review sessions throughout your CFA study plan:

• Weekly reviews: Summarize the topics you studied during the week.
• Monthly reviews: Revisit challenging areas and ensure you’re on track.
• Final month: Dedicate this entirely to revisions, mock exams, and practice questions.

8. Take Advantage of Technology

Modern tools can streamline your preparation. Incorporate these tech-based resources:

• CFA Prep Apps: Use apps like AdaptPrep or Pocket Prep for on-the-go practice.
• Online Forums: Engage with other candidates on platforms like Reddit or AnalystForum to clarify doubts.
• Study Trackers: Tools like Notion or Excel can help you monitor your progress.

Leveraging technology makes your CFA study plan more efficient.

9. Focus on Ethics and Professional Standards

The Ethics section is heavily weighted across all CFA levels. It’s not just important for passing but also for your career as a CFA charterholder. Here’s how to prepare:

• Dedicate time to understanding the Code of Ethics and Standards of Professional Conduct.
• Practice ethics questions regularly.
• Revisit the section during revisions.

Mastering ethics can significantly boost your exam score.

10. Practice Time Management for the Exam

Time management is a critical skill for the CFA exam. Incorporate timed practice sessions in your CFA study plan:

• Solve full-length mock exams under timed conditions.
• Aim to complete each session within the allotted time.
• Learn to skip tough questions and return to them later.

Effective time management ensures you don’t leave any questions unanswered on exam day.

11. Don’t Ignore Your Health

A solid CFA study plan isn’t just about hitting the books—it’s also about maintaining your health:

• Exercise: Regular workouts improve focus and reduce stress.
• Nutrition: Eat brain-boosting foods like nuts, fish, and leafy greens.
• Sleep: Prioritize 7-8 hours of sleep to aid memory and concentration.

A healthy body supports a sharp mind, which is essential for CFA exam success.

12. Join a Study Group

Studying with peers can make the process more engaging and effective. Benefits of study groups include:

• Sharing resources and insights.
• Discussing complex topics to deepen understanding.
• Staying motivated through accountability.

Find a study group through local CFA societies or online communities.

13. Learn from Mock Exams

Mock exams are invaluable for CFA preparation. Here’s why they’re crucial:

• Identify Weak Areas: Pinpoint topics that need more focus.
• Improve Speed: Practice completing questions within the time limit.
• Simulate Exam Conditions: Get comfortable with the exam format.

Take at least 3-5 full-length mock exams as part of your CFA study plan.

14. Adapt Based on Your Progress

Be flexible with your CFA study plan. Regularly assess your progress and adjust if needed:

• Spend more time on challenging topics.
• Reduce focus on areas where you excel.
• Modify your daily or weekly goals based on your pace.

Adaptability ensures you’re always moving toward success.

15. Stay Motivated and Consistent

Preparing for the CFA exam is a marathon, not a sprint. Maintain motivation by:

• Setting small milestones and celebrating achievements.
• Visualizing your goal of becoming a CFA charterholder.
• Keeping a positive mindset, even during tough times.

Consistency is the key to acing the CFA exam.

16. Avoid Last-Minute Cramming

Last-minute cramming rarely works for an exam as rigorous as the CFA. Instead, focus on:

• Light revisions in the final days.
• Practicing ethics questions, which often carry significant weight.
• Ensuring you’re well-rested before the exam.

Confidence and clarity will take you further than panic-driven cramming.

17. Leverage Expert Guidance

Enrolling in a CFA coaching program, like the one offered by Boston Institute of Analytics, can provide:

• Expert instruction tailored to the CFA curriculum.
• Structured learning plans.
• Access to high-quality practice materials.

Professional guidance can significantly enhance your preparation.

Final Thoughts

Creating an effective CFA study plan is a blend of strategy, discipline, and adaptability. By breaking the curriculum into manageable chunks, practicing regularly, and staying consistent, you’ll be well on your way to CFA success.

Ready to Ace the CFA Exam?

Take the first step toward CFA success with the Boston Institute of Analytics’ online CFA training in India. Our expert-led classes, proven strategies, and comprehensive resources are designed to help you excel at every level. Enroll now and start your journey to becoming a CFA charterholder!