Am i the only one to be convinced that the pass rate will be lower for this upcoming exam? My reasoning is the following: With the mandatory textbooks that we now have to purchase from CFAI, less people will resort to buying Stalla/Schweser as they’ve already spent about $400 more on the exam. Having read all of Schweser and having reviewed some concepts from CFAI, if i was to read and study from CFAi, i personally don’t think i’d pass as there is way too much unnecessary information (ie: T-Accounts in FSA). Also, the CFAI text is geared more towards understanding, rather than passing. Schweser is more focused on nailing the multiple choice, where CFAi focuses more on all details and how they all come together. So in turn, if my guess is right, more people will study from the CFAI books, which will in turn produce more failures, which will also lower the required mark to pass. If the passing mark before was ~68%, it would be maybe ~64% for this upcoming exam. Thoughts?
I think CFAI maintains about 40% passing rate, regardless of how many pass or fail. So if your theory is correct, it would mean more failures among those who rely only on CFAI material, with overall rate remaining at 40%. This basically says those who use test helpers will do better on a percentage basis. My 2 cents.
Alexandrov Wrote: ------------------------------------------------------- > Also, the CFAI text is > geared more towards understanding, rather than > passing. Schweser is more focused on nailing the > multiple choice, where CFAi focuses more on all > details and how they all come together. > Therein lies the problem with a lot of individuals: rather than look beyond the multiple choice questions and actually build a foundation of knowledge in finance, they look for shortcuts on how to pass. This is clearly why many people fail. You can get away with practicing multiple choice questions when studying for an insurance license. But you’ll have a rough time doing that on the CFA exam. And you think it’ll get any better when you do essays on Level III? The CFAi books are not bad at all. They’re nothing more than eclectic readings from various college textbooks. I’ve already started my 3rd reading. That’s right, after dropping books 1-6 for a second time, I’m back to SS 1 in volume 1 for a 3rd time. Is it fun? Hell no! But it all comes down to preparation.
CFAI is requiring candidates to purchase the CFAI material because they feel too many candidates have relied on test prep providers (Schweser & Stalla). What type of message would it send if the pass rate falls? That the test prep providers were actually better at preparing candidates for the test than the CFAI material? If the CFAI wants to send a message to candidates then the pass rate should be marginally higher this June so they can say “See, the CFAI material is what you need to study. Not that crap you can get from the test prep providers.” Or something like that.
gdiddy Wrote: ------------------------------------------------------- > Alexandrov Wrote: > -------------------------------------------------- > ----- > > Also, the CFAI text is > > geared more towards understanding, rather than > > passing. Schweser is more focused on nailing > the > > multiple choice, where CFAi focuses more on all > > details and how they all come together. > > > > Therein lies the problem with a lot of > individuals: rather than look beyond the multiple > choice questions and actually build a foundation > of knowledge in finance, they look for shortcuts > on how to pass. > > This is clearly why many people fail. You can get > away with practicing multiple choice questions > when studying for an insurance license. But > you’ll have a rough time doing that on the CFA > exam. And you think it’ll get any better when you > do essays on Level III? > > The CFAi books are not bad at all. They’re > nothing more than eclectic readings from various > college textbooks. I’ve already started my 3rd > reading. That’s right, after dropping books 1-6 > for a second time, I’m back to SS 1 in volume 1 > for a 3rd time. > > Is it fun? Hell no! But it all comes down to > preparation. I don’t agree! As an Accounting major with a minor in Econ, i don’t feel the need that I need to sit through 50 pages of examples on T-Accounts and a chapter on elasticity. I will admit that fixed income is my weakest area so I refer to both Schweser and CFAI for a better understanding. Because i use Schweser to prepare, how does that make my understanding of the material any less? You have to take into consideration people’s backgrounds. Also, if you are working full time, reading CFAI is simply not a practical or wise choice imo, unless you start preparing a year in advance.
I see your point. I don’t defend CFAi’s decision of requiring candidates from '08 onward to use its curriculum. Let us not forget the monetary benefit of forcing all candidates to buy proprietary textbooks. I think this is also a method of standardizing the entire curriculum: our rules, our charter, our exam, and our books.
wonderingcfa, I don’t think the CFAI and the test prep folks are competing with each other. Each is benefiting strongly from the other. If there were no test prep services, many people will not sign up for CFA…the amount of material would scare them off.
Its best to stick with the CFA I books that they supplied…how far can they tweak the questions after all?..they’ve changed certain parts of the outline compare to the schweser notes…
I think the CFAI grading system breaches their own standards of professional conduct. The CFAI doesn’t provide any transparency to their clients (the candidates) with regard to the grading system, and why they intentionally maintain a pass rate around 40%. The vague explanation they currently give just isn’t good enough. It is often said on this board that you need to get over 70% in the ethics section to pass (along with a good overall score). If this is true, it should be disclosed by the CFAI.
Dreary Wrote: ------------------------------------------------------- > wonderingcfa, I don’t think the CFAI and the test > prep folks are competing with each other. Each is > benefiting strongly from the other. If there were > no test prep services, many people will not sign > up for CFA…the amount of material would scare > them off. Well, that’s just not the way CFAI feels about it. They have written some very hateful things about the test prep services.
Alexandrov Wrote: ------------------------------------------------------- > gdiddy Wrote: > -------------------------------------------------- > ----- > > Alexandrov Wrote: > > > -------------------------------------------------- > > > ----- > > > Also, the CFAI text is > > > geared more towards understanding, rather > than > > > passing. Schweser is more focused on nailing > > the > > > multiple choice, where CFAi focuses more on > all > > > details and how they all come together. > > > > > > > Therein lies the problem with a lot of > > individuals: rather than look beyond the > multiple > > choice questions and actually build a > foundation > > of knowledge in finance, they look for > shortcuts > > on how to pass. > > > > This is clearly why many people fail. You can > get > > away with practicing multiple choice questions > > when studying for an insurance license. But > > you’ll have a rough time doing that on the CFA > > exam. And you think it’ll get any better when > you > > do essays on Level III? > > > > The CFAi books are not bad at all. They’re > > nothing more than eclectic readings from > various > > college textbooks. I’ve already started my 3rd > > reading. That’s right, after dropping books > 1-6 > > for a second time, I’m back to SS 1 in volume 1 > > for a 3rd time. > > > > Is it fun? Hell no! But it all comes down to > > preparation. > > > I don’t agree! > > As an Accounting major with a minor in Econ, i > don’t feel the need that I need to sit through 50 > pages of examples on T-Accounts and a chapter on > elasticity. I will admit that fixed income is my > weakest area so I refer to both Schweser and CFAI > for a better understanding. > > Because i use Schweser to prepare, how does that > make my understanding of the material any less? > You have to take into consideration people’s > backgrounds. > > Also, if you are working full time, reading CFAI > is simply not a practical or wise choice imo, > unless you start preparing a year in advance. ------ I agree, it all depends on an individual’s background and their level of understanding of the material being discussed in the text. Just because you are preparing from Schweser or anyother prep course doesn’t mean that you’ve less of a chance of passing than anyone who is using CFAI text exclusively. And unless you start 8+ months in advace I think it’s a near impossible task for anyone working 40+ hrs to go through all of the CFAI text multiple times in less than a 6 months time frame.
JoeyDVivre Wrote: ------------------------------------------------------- > Well, that’s just not the way CFAI feels about it. > They have written some very hateful things about > the test prep services. Here is a quote taken from this PDF re: test prep providers. http://www.cfainstitute.org/aboutus/reports/pdf/04AnnualReport.pdf “The downward trend is largely attributed to inadequate candidate preparation, with candidates indicating in a May 2004 survey that they devoted, on average, 50 hours fewer than the minimum recommended preparation time for the examination. For instance, 57 percent of this year’s Level I candidates and 49 percent of Level II candidates indicated that they studied fewer than 200 hours in preparation. Moreover, fewer candidates used the assigned curriculum to prepare, relying instead on prep course providers and study notes. To address this disturbing trend, CFA Institute has counseled candidates to use prep courses and study notes as supplements to—not substitutes for—the assigned curriculum.”
I think that you’ll find lower pass rates among people who waste their time thinking up threads like these when they could be studying.
JoeyDVivre Wrote: ------------------------------------------------------- > Dreary Wrote: > -------------------------------------------------- > ----- > > wonderingcfa, I don’t think the CFAI and the > test > > prep folks are competing with each other. Each > is > > benefiting strongly from the other. If there > were > > no test prep services, many people will not > sign > > up for CFA…the amount of material would scare > > them off. > > > Well, that’s just not the way CFAI feels about it. > They have written some very hateful things about > the test prep services. Hmm, I got that feeling too, but something tells me it’s perhaps moreso towards schweser than towards stalla? Stalla is endorsed by all the CFA societies (at least in north america, to my knowledge), and I would hope that this type of endorsment has some intrinsic value besides $$?
If anything i think the questions are going to be harder. They gave sample of 2005 test questions, which i dont think they didnt do before, so in my opinon they are poised to ask more detailed question.
> The CFAi books are not bad at all. They’re > nothing more than eclectic readings from various > college textbooks. I couldn’t agree with you more gdiddy. Why do people have such an aversion to these readings? Although I don’t enjoy the stress of having to prepare for the exam (kinda like the week before finals…for many months), I experience much joy from *gasp* learning. I’m greatly anticipating learning the Level II material. I’m sure if you are reasonably smart and diligent, you will end up passing all three levels eventually…but in the end it is the knowledge that’s the most important. (A case could be made for the millions too, haha.) Shortcuts and tricks might get you past the exams, I admit, but I’m interested in having that rich theoretical knowledge base in the long run.
bostonkev, absolutely right, but you won’t find many on this board agree with that. Most are a bunch of kids that want to cheat their way into the charter. Even the master himslef (aka JDV) doesn’t seem to quite grasp this idea.
I began reading the CFAI texts. However being I have a finance background, it seemed cumbersome to relearn elasticity, monopoly, etc. Schweser condensed it nicey. What is true for one is not true for all. Someone without a finance background would benefit greatly from CFAI texts.
When i made the post i was strictly talking about my passing forecast, not about whether or not i enjoy the material. Seems as if some of you are lacking basic reading comprehension. The CFAI material is interesting if you are non business undergrad, for me, i’ve covered 60%-80% of it, the material i didn’t cover in university ( Equity/Fixed Income ) i found enjoyable.
Super I Wrote: ------------------------------------------------------- > I think that you’ll find lower pass rates among > people who waste their time thinking up threads > like these when they could be studying. you are right !! I’m going back to FSA instead of reading threads