I found how they set the passing rate from Wiki

CFA Level I
#1

Candidates who have taken the exam receive a score report that is intended to be fairly unspecific: there is no overall score for the test, only a Pass/Fail result. For each category of questions, each test-taker is given a broad range within which his or her performance falls: below 50%, between 50% and 70%, and above 70%. The passing grade for the exams has been defined as 70% of the top percentage of exam papers until 1989; since then, the grading method is not explicitly published. and the minimum passing score is set by the Board of Governors after each exam. The Board of Governors reviews the results of a Standard Setting process and input from psychometricians. Standard Setting is a process by which CFA Charterholders from around the world review the exam and recommend, for each question, a minimum passing score for the “just qualified candidate”. The minimum passing scores for each question are aggregated and presented to the Board of Governors as a recommended minimum passing score for the entire exam. The Board of Governors is not bound by this recommendation, but does recognize it as very important information.

#2

wonderful this is all that we were searching for …

#3

Funny. Thanks June2010 for sharing the info but this information is so subjective that it is almost useless (for most of us)

#4

True. But CFAI now possesses a monopoly position and has the advantage to operate in a black box.

#5

I dont know why this should be required… is their objective to teach students or confuse them for unknown facts… whats wrong if someone studies looking at a target score that he has to achieve… i personally dont see a reason for not disclosing the basis!

#6

the only reason I can think of is that they care more about how they will avoid any legal accusations by candidates (the black box protects) than about how candidates feel.

#7

Thanks June2010 for the info. I guess since the process is still undercover thing - again the usual benchmark of 70% looks good to me, as a target. Basically, its tried and tested by folks who have passed, as heard on AF many times.

#8

need more revenue= lower the passing rate BECAUSE THEY CAN!!!

#9

what’s so black box? A bunch of cfas get together to determine the minimum passing score based on what they think a minimal candidate should know