CFA Level 1 Study Guide (2026)

CFA Level 1 Study Guide 2026 – Pass on Your First Attempt

This CFA Level 1 study guide covers all exam domains, key concepts, and real exam-style scenarios to help you pass on your first attempt. Learn what topics matter most, avoid common mistakes, and follow a structured plan based on the official exam blueprint.

Edureify AI helps you identify your strengths and weak areas using real exam-style questions, detailed explanations, and domain-level analysis. Get a personalized study plan, track your progress, and focus only on what will improve your CFA Level 1 exam score.

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What should you study for the CFA Level 1 exam?

To pass the CFA Level 1 certification exam, you should focus on:

  • Ethical and Professional Standards: Understanding and applying ethical and professional standards in the finance industry.
  • Quantitative Methods: Applying quantitative techniques to financial analysis and decision-making.
  • Economics: Understanding macroeconomic and microeconomic concepts and their impact on financial markets.
  • Financial Reporting and Analysis: Understanding and analyzing financial statements and reports.
  • Corporate Finance: Understanding corporate finance concepts, such as capital budgeting and financial structure.
  • Equity Investments: Understanding and analyzing equity securities and stock markets.
  • Fixed Income: Valuation of bonds and understanding fixed income markets.
  • Portfolio Management: Basic portfolio management techniques and performance evaluation.

The exam tests your ability to apply concepts in real scenarios, not just memorize definitions.

CFA Level 1 Exam Syllabus and Topics

The CFA Level 1 exam is divided into 8 domains. Each domain tests specific skills and contributes to your overall score.

Ethical and Professional Standards

Understanding and applying ethical and professional standards in the finance industry.

15%
Weight
36
Questions
180
Marks

Code of Ethics and Standards of Professional Conduct

  • Integrity of Capital Markets
  • Duties to Clients and Employers
  • Conflicts of Interest

Global Investment Performance Standards (GIPS)

  • GIPS Requirements
  • Verification and Performance Reporting

Quantitative Methods

Applying quantitative techniques to financial analysis and decision-making.

10%
Weight
24
Questions
120
Marks

Time Value of Money

  • Present and Future Value
  • Annuities and Perpetuities
  • Discounted Cash Flow

Statistical Concepts and Market Returns

  • Mean, Median, Mode
  • Variance and Standard Deviation
  • Correlation and Regression

Economics

Understanding macroeconomic and microeconomic concepts and their impact on financial markets.

10%
Weight
24
Questions
120
Marks

Demand and Supply Analysis

  • Market Equilibrium
  • Elasticity of Demand
  • Cost Structures

Economic Growth and Business Cycles

  • Fiscal and Monetary Policy
  • Interest Rates
  • Inflation and Unemployment

Financial Reporting and Analysis

Understanding and analyzing financial statements and reports.

20%
Weight
48
Questions
240
Marks

Income Statement, Balance Sheet, and Cash Flow

  • Revenue Recognition
  • Accounting for Assets and Liabilities
  • Cash Flow from Operating Activities

Financial Ratios and Analysis

  • Liquidity Ratios
  • Profitability Ratios
  • Efficiency Ratios

Corporate Finance

Understanding corporate finance concepts, such as capital budgeting and financial structure.

10%
Weight
24
Questions
120
Marks

Time Value of Money and Capital Budgeting

  • Net Present Value (NPV)
  • Internal Rate of Return (IRR)
  • Discounted Cash Flow (DCF)

Cost of Capital and Capital Structure

  • Debt and Equity Financing
  • Weighted Average Cost of Capital (WACC)
  • Capital Structure Theories

Equity Investments

Understanding and analyzing equity securities and stock markets.

11%
Weight
26
Questions
130
Marks

Stock Valuation Models

  • Dividend Discount Models
  • Price/Earnings Ratio
  • Discounted Cash Flow (DCF) Models

Market Efficiency and Behavioral Finance

  • Efficient Market Hypothesis (EMH)
  • Behavioral Biases

Fixed Income

Valuation of bonds and understanding fixed income markets.

11%
Weight
26
Questions
130
Marks

Bond Pricing and Yield

  • Yield to Maturity (YTM)
  • Duration and Convexity
  • Interest Rate Risk

Credit Risk and Yield Curve

  • Credit Risk Analysis
  • Yield Curve Analysis

Portfolio Management

Basic portfolio management techniques and performance evaluation.

10%
Weight
24
Questions
120
Marks

Modern Portfolio Theory

  • Risk and Return Trade-off
  • Efficient Frontier
  • Capital Asset Pricing Model (CAPM)

Portfolio Performance Evaluation

  • Sharpe Ratio
  • Jensen’s Alpha
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Learning Progress

Ethical and Professional Standards 85%
Quantitative Methods 92%

Practice Test Scores

95%
Latest Score
Above passing threshold

Frequently Asked Questions