CFA® Pass Rates: What You Need to Know

If you’ve looked into becoming a CFA®, you may already have an idea of how difficult the exams are. With three levels of rigorous testing, CFA® candidates don’t have months of frolicking in daisies ahead of them—but with a solid study plan and an unshakeable drive to succeed, passing is possible.

After all, there are over 200,000 Chartered Financial Analysts worldwide—they did it, and you can, too.

You’re already smart enough to see what the pass rates look like, and that’s a great sign that you know what this journey is going to take. Understanding CFA® pass rates can help you gauge what to expect, how to prepare, and whether this path aligns with your goals.

In this guide, I’ll break down the pass rates for each level, talk about what makes each exam unique, and share tips to help you succeed. Let’s do this!

Key Takeaways

• Pass Rates Vary by Level: On average, less than half of candidates pass CFA® exams across all levels, with Level II having the highest 2024 pass rates.
• Level III Offers Specialization: Starting in 2025, Level III lets candidates choose from three specialized pathways, making it more tailored to career goals.
• Preparation Is Crucial: Mock exams, understanding key topics, and focusing on heavily weighed topics, particularly pathways and ethics, are critical to success at all levels.
• Changes Are Coming: The CFA Institute is adding real-world skills and digital badges, making the program more practical and modern.
• Consistency Pays Off: Candidates who dedicate time to thorough preparation and practice tend to see better outcomes, even if they need a retake.

CFA® Pass Rates: An Overview

Before we jump into the specifics, here’s a quick overview. The CFA Institute releases pass rates for each exam window, giving candidates insight into how others are performing. Across all levels, historical pass rates typically hover around 45–50%, depending on the level and exam cycle. The 2024 averages tell us:

• CFA® Level I: 44% to 46%
• CFA® Level II: 44% to 59%
• CFA® Level III: 48 to 49%

These percentages show that often, less than half of candidates pass the exams on the first try. But don’t let that scare you off—it just means preparation is key!

CFA® Level I: Your Gateway to the Program

The Level I exam is where everyone starts. It’s known for its breadth of content, covering topics like ethics, quantitative methods, and financial analysis. The test is entirely multiple-choice, which might sound easier than essay questions, but don’t be fooled—it’s tough.

The good news? Unlike many exams, these MCQs give three choices, not four, so you have a 33% chance to answer each question correctly. Also, Level I focuses a lot on definitions and identifying formulas, so if you’re great at memorization, you’ll likely enjoy this level the most.

2024 Pass Rates for Level I

• February: 44%
• May: 46%
• August: 44%

On average, the Level I pass rate in 2024 was around 45%. That’s not high, but it’s manageable if you commit to solid exam prep.

Tips for Level I Success

• Focus on Mock Exams: Practice exams are your best friend here. They’ll help you get used to the exam format and timing. Plus, many CFA® prep courses offer adaptive learning technology, which can help you identify your strengths and weaknesses for more efficient study sessions.
• Don’t Skimp on Ethics: The ethics section is present in all three levels and has significant weight, so it’s worth spending a little extra time on to gain more points. Other heavily weighted topics for Level I include financial statement analysis, equity investments, and fixed income.
• Understand the Minimum Passing Score (MPS): The CFA Institute doesn’t publish the exact score you need to pass, but aim for 70% or higher on practice exams to be safe.
• Develop Multiple-Choice Mastery: There are a lot of tips and tricks with MCQs where you can sometimes guess the answer, even if you don’t know anything about the topic. This PDF from Des Moines University is a great resource.

Level I is where you build the foundation for Levels II and III. It’s challenging because of the sheer volume of material, but with consistent effort, it’s doable.

CFA® Level II: Diving Deeper

Level II steps up the difficulty. Here, you’re expected to apply your knowledge through vignette-based item sets. Basically, that means you’ll have a larger section to read, with corresponding sets of multiple-choice questions to answer.

This level focuses heavily on knowledge application and solving real-world problems, so it will take more than just memorization to succeed. You’ll need to build true comprehension.

2024 Pass Rates for Level II

• May: 59%
• August: 47%

Level II saw the highest pass rate across all levels in 2024, peaking at 59% for the May exam. But remember, this doesn’t make it easy—most candidates describe Level II as the hardest because of the complex material and tricky question formats.

Tips for Level II Success

• Master the Item Set Format: These are mini case studies with about four associated questions. You’ll need to read quickly and carefully.
• Learn Financial Modeling: Expect plenty of questions on valuation, so get comfortable with concepts like DCF and comparable analysis.
• Plan for More Study Time: Many candidates spend up to 400 hours preparing for Level II, whereas they may study for closer to 300 hours for the other two levels.

CFA® Level III: The Final Hurdle

Level III is the grand finale. It’s all about portfolio management and requires you to apply everything you’ve learned so far. The exam is split into essay-style questions and item sets, so you’ll need to write well and think critically.

2024 Pass Rates for Level III

• February: 49%
• August: 48%

Level III pass rates are consistently higher than Level I but lower than the peaks of Level II. The essay section is notorious for tripping up candidates, as it demands clear, concise, and accurate answers.

Tips for Level III Success

• Practice Essay Questions: Essay questions are unique to Level III, so master the command words and decipher what the question is asking. You’re graded on accuracy, not style, so knowing the answer and being able to justify it with logic and sources will be crucial for success.
• Understand Your Pathway: The specialized pathway you choose will make up around 1/3 of your score, so become a true expert in that topic for the best results. Asset allocation and portfolio construction are also heavily weighted.
• Guess and Come Back: Time management feels particularly necessary for Level III. There are no penalties for incorrect answers, so it’s better to answer a question and come back to it later if you’re struggling.

CFA® Exam Pass Rates: What Do They Mean for You?

Pass rates tell an important story, but they’re just part of the picture. While it’s true that less than half of candidates pass on their first attempt, the numbers improve for those who retake the exam.

Overall Average Pass Rate of CFA® Exam

Across all three levels in 2024, the average pass rate was approximately 45–50% on average. That might seem intimidating, but remember:

• Preparation is Key: Candidates who dedicate themselves to mock exams, detailed study plans, and understanding the material have a better shot at success. The CFA Institute recommends studying for around 300 hours per exam level, so get ready to lock in for at least a year.
• Don’t Rely on Luck: The CFA® exams are rigorous for a reason—they’re designed to ensure you’ve mastered the necessary knowledge, so every charterholder is a great representation of the prestigious title. As a result, luck won’t get you very far (which I think is a great thing!).
• Think About What the Questions Are Asking: This is a weird analogy, but hear me out. Jeopardy is a trivia show, but some contestants say that a lot of success is word association. Similarly, exams require knowledge, but thinking about what the exam writer (like the clue writer!) is looking for will get you further than you might think. It’s a bit of a mind game, so get good at playing!

What’s Changing in 2025?

Big changes are coming to the CFA® Program in 2025, and they’re designed to make the process more relevant and flexible for candidates like you. Here’s the scoop:

• Choose Your Own Path (Level III): At Level III, you’ll get to pick a specialized pathway—Portfolio Management, Private Wealth, or Private Markets—while still covering the core stuff like asset allocation and risk management. This helps candidates tailor their experience to their interests.
• More Practical Skills: They’re adding real-world tools to the mix via Practical Skill Modules, with topics like Python programming and financial modeling. Each mixes videos, questions, and practice and takes 10-20 hours. You’ll have to finish one PSM per level to receive your exam results.
• Updated Ethics and Content: Ethics is getting a refresh, and new topics like ESG (Environmental, Social, and Governance investing) and private wealth management are being added.
• Start Early: You can now sign up for Level I up to two years before finishing your undergrad, so you can hit the ground running sooner.
• Bragging Rights (Digital Badges): Pass Level I or II? You’ll get a shiny digital badge to show off your progress to employers and on LinkedIn. Plus, celebrating your wins this way might help you stay motivated to go the distance when you’re losing your drive. Who doesn’t love dopamine?

These changes are all about making the CFA® Program more career-focused and tailored to your goals. It’s an exciting update—and one that could make your CFA® journey a bit more modern and practical.

Final Thoughts

If you’re gearing up for the CFA® exams, you’re taking on a challenging yet rewarding journey. Yes, the pass rates are daunting, but they’re also a reminder of how valuable and prestigious the CFA® charter is. With the right preparation—mock exams, a solid study schedule, and a focus on weak areas—you can boost your chances of success.

So, what’s next?

Start planning your study timeline, gather your materials, and dive in. Whether you’re tackling Level I, II, or III, every hour you invest brings you one step closer to earning that coveted CFA® charter. You’ve got this!

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