With the CAIA exam preparation courses offered by Kaplan and Schweser, you have access to many online learning materials and personal lessons. Self-study packages start at $499 for each level, and you can pay up to $1,129 for access to live class reports, workshops and mock exams. Even if you fail the CAA exam on the first try, you could take these courses for free a second time, and the affordability factor sets them apart from the competition.
The CFA exam is notoriously difficult, according to student surveys and official pass rates. Only 43% of the CFA test takers pass Level 1 (47%), Level 2 (54%) and Level 3 (the CAIA-Phone Pass Rate for Level 1 is slightly higher at 63% in 2017 and Level 2 at 59%). The prerequisite for taking all three examinations and passing the examination is at least four years of relevant professional experience, one year of professional experience and a bachelor’s degree in order to obtain the CFA title.
The percentage of candidates passing the CAIA exam varies from exam to exam. At the last March meeting, for example, 54% of participants passed all exam levels, with a level II success rate of no less than 69%. This is due to a increase in the number of CFA charter owners and reduction in the Level II exemptions, with the stock quotas for Level II ranging from 60% to 70%.
This high success rate has led some to believe that the CAIA exam is a simpler, reduced version of the CFA program. While self-directed and motivated candidates at CCAI are able to pass the CAI Level I exam through courses and self-study, the majority of those who pass the exam participate in exam preparation courses or enroll in exam preparation courses.
Candidates who pass the exam in whole or in part may join CAIA as an Associate Member. Approximately 40% of the candidates begin the programme by acquiring a charter. Many candidates pass the exam and try to complete the process within a year.
In order to take the CFA exam, applicants must have a bachelor’s degree from an accredited university in the last academic year. Once a candidate passes the Level 3 exam, he must gain at least four full years of relevant professional experience before he can charter questions.
After passing all three tests and fulfilling the required professional experience, a CFA candidate can use the CFA designation. Candidates must take the level II examination within 3 years of passing the level I examination in order to qualify for the CCAI title after completion of the CAIA program. Candidates must take the Level II examination within 3 years of passing the Level I examination before qualifying for the title.
In order to receive the Charter, you must take and pass the CAIA Levels I and II exams. You must also join a CAIA association and submit two professional references to the association. Study and work requirements for the CAA Level I or II Exam: You must obtain or complete a bachelor’s degree or the equivalent of 1 year of work experience after passing the Level I and II exams and complete at least 4 years of work experience with a degree.
Candidates at the CAI level are expected to have a basic understanding of the fundamental concepts of traditional finance and quantitative analysis. At all levels, the CAIA audit will take place between March and September, which is known as the window of the year.
The CAIA Level 1 examination focuses on the introduction of alternative investments and covers different asset classes. The Level 2 review builds on the foundations of Level 1 and complements current scientific and industrial research on alternative investments, asset allocation and risk management. This test is unique in that it is divided into 2 sections each 2 hours which each consist of 100 multiple choice questions (section 1) and 3 sets of questions composed (section 2).
Candidates have 4 hours to answer 200 multiple choice questions with an optional 30 minute break between each section. There is the same time allocation for each section, with the 100 multiple choice questions making up the majority of the Level 2 exam (70%) while the exam is weighed to the three sets of constructable answer questions (30%).
Half of the examination takes place in the constructed answer format, and this is not taken into account in the notes. At CFA Level III, which is written in the morning paper and multiple choice in the afternoon paper, the grades for both examinations are awarded and the examination grades are distributed evenly.
The CPL / ATPL exam curriculum for Theoretical Knowledge and Theoretical Knowledge in Aircraft and Helicopters Level 1, Level 2 and Level 3 CFA examinations revolves around the same 10 topics that are mandatory in the CFA curriculum. Candidates are expected to understand basic concepts of finance and quantitative analysis, but specific levels of education are not part of the requirements. Throughout each audit level, professional standards and ethics focus on the introduction to alternative investments (tangible assets, hedge funds, commodities, private equity, structured products, risk management, portfolio management, etc.
This level is comprised of 200 multiple choice questions and covers topics such as professional standards and ethics, introduction to alternative investments, real assets, hedge funds, commodities, private equity, structured products, risk management and portfolio management. Level II is divided into two parts, a first part on the main topic Alternative Investments and a second part on integrated core topics. It consists of 100 multiple-choice questions and 3 sets of essay-like questions, also known as Constructed Responses Questions.
As the current CAIA charter owner, I recommend Uppermarks materials to all who want to pass the CAIA exam without any problems. I have recommended Uppermark to my friends and I recommend it to anyone preparing for Level II of the exam. In Level 1 order, the Uppermark suite includes formula sheets, test banks, and study manuals.
In short, I can tell you that the CAIA Level 1 exam will shape your brain to be able to analyze investments in the private market and provide a different mental model to assess risk and return. The hardest part is the amount of information you need to know as they ask you a combination of questions during the exam.