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CFA Final Exam Success Rate Drops to Below 50%

The pass rate for the notoriously taxing final level of the chartered financial analyst exam fell further below the decade average of 52%.

Photo of students working in a classroom
Photo by Mikhail Nilov via Pexels

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The results are in, and it’s safe to say the CFA final exam is by far one of the most difficult tests on the planet. 

Just 48% of test takers passed the August Level III exam, meaning the pass rate for the notoriously taxing final level of the chartered financial analyst exam has fallen further below the decade average of 52%. While the figures aren’t exactly encouraging, the pass rate is continuing an upward improvement from the historic lows seen during the pandemic. The latest data also found that candidates had less success if they delayed taking the exam.

Not Always Impossible

When the CFA first started offering the exam in 1963, almost everyone got through it successfully. The debut test had an impressive 94% passing rate, which somehow only increased the next year. Since then, there have been peaks and valleys, but the passing rate has been in a general decline. The all-time average sits at just 55%.

So what’s changed? CFA chief product advocate Rob Langrick said today’s exams are no more or less difficult than when they debuted, but the candidate population has grown.

“Our first sitting was a small, invite-only group,” he told The Daily Upside, adding that most were above the age of 30 and native English speakers. “Pass rates have trended down,” he said, as the company expanded globally to over 100 markets and eased exam eligibility to let in other industry professionals and students.

Because of that, the CFA isn’t anticipating a return to the initial pass rates.

Chart depicting the pass rate throughout history of the CFA Final Exam

Practice Makes Perfect. Kudos to anyone who even shows up on exam day. They’ve passed the already-challenging Levels I and II and are attempting to show their skills on a test that requires at least 300 hours of prep time, if not more: 

  • Roughly 17,000 people took the most recent Level III exam, and 55% of first-time testers passed, according to the CFA. 
  • However, candidates who had deferred their tests one or more times achieved a lower passing rate of 35%.

Interruptions in the study process are hard to overcome, Langrick said. Candidates often say “external obligations” like work and personal commitments can get in the way. 

“These tend to crowd out their study plan,” Langrick said. “Sticking to a study plan is the single most important ingredient for exam success.”