CFA Level 3 study guide · 2026

The 6 CFA Level 3 domains, explained

6 domains and 50 official learning modules. Pathways carries the most weight at 30-35%. Each guide explains what the domain covers, how its questions are framed and where candidates lose marks.

Start with Domain 6 See all domains
Questions
22 sets: 11 item sets (44 multiple-choice questions) and 11 constructed-response sets; 20 scored
Time
Two 132-minute sessions (4 hours 24 minutes)
Passing score
Minimum Passing Score set by the Board (not published)
Outline
2027 CFA Level III Curriculum (core plus pathway topic outlines; applies from the February 2027 exam window)

Exam blueprint

Bar widths follow the official weights. Weight ranges are drawn at their midpoint.

  1. 1 15-20%
  2. 2 15-20%
  3. 3 5-10%
  4. 4 10-15%
  5. 5 10-15%
  6. 6 30-35%
  1. 1 Asset Allocation
  2. 2 Portfolio Construction
  3. 3 Performance Measurement
  4. 4 Derivatives and Risk Management
  5. 5 Ethical and Professional Standards
  6. 6 Pathways

All 6 domains

50 official learning modules 280–370 hrs suggested study

  1. Domain 01 15-20%

    Asset Allocation

    Asset Allocation turns macro forecasts into a defensible strategic mix. You will set capital market expectations, choose between asset-only, liability-relative and goals-based approaches, and justify an allocation under real-world constraints.

    Inside this domain

    • Capital Market Expectations, Part 1: Framework and Macro Considerations
    • Capital Market Expectations, Part 2: Forecasting Asset Class Returns
    • Overview of Asset Allocation
    • Principles of Asset Allocation
    • and 1 more learning modules

    Watch for Highest expected return wins

    Learning modules
    5
    Questions est.
    3–4 scored sets of questions
    Study time est.
    50–65 hrs
  2. Domain 02 15-20%

    Portfolio Construction

    Portfolio Construction turns an allocation into real portfolios for specific clients. It covers equity and fixed-income management, alternatives, private and institutional investors, trading costs, and a sovereign wealth fund case.

    Inside this domain

    • Overview of Equity Portfolio Management
    • Overview of Fixed-Income Portfolio Management
    • Asset Allocation to Alternative Investments
    • An Overview of Private Wealth Management
    • and 3 more learning modules

    Watch for Profitable sponsor means more risk

    Learning modules
    7
    Questions est.
    3–4 scored sets of questions
    Study time est.
    50–65 hrs
  3. Domain 03 5-10%

    Performance Measurement

    Performance Measurement asks whether a manager added value and how you would know. It covers attribution, benchmark quality, appraisal ratios, manager selection and fees, and the Global Investment Performance Standards.

    Inside this domain

    • Portfolio Performance Evaluation
    • Investment Manager Selection
    • Overview of the Global Investment Performance Standards

    Watch for Positive excess return proves skill

    Learning modules
    3
    Questions est.
    1–2 scored sets of questions
    Study time est.
    20–30 hrs
  4. Domain 04 10-15%

    Derivatives and Risk Management

    Derivatives and Risk Management is about using options, swaps, forwards and futures to reshape a portfolio's exposures. It covers option strategies, overlay strategies for rates, equity and volatility, and currency hedging programs.

    Inside this domain

    • Options Strategies
    • Swaps, Forwards, and Futures Strategies
    • Currency Management: An Introduction

    Watch for Covered call as protection

    Learning modules
    3
    Questions est.
    2–3 scored sets of questions
    Study time est.
    35–45 hrs
  5. Domain 05 10-15%

    Ethical and Professional Standards

    Ethics at Level 3 applies the Code and Standards to portfolio managers and firms. It covers the Code, guidance for all seven Standards, case application at Level III, and the Asset Manager Code of Professional Conduct.

    Inside this domain

    • Code of Ethics and Standards of Professional Conduct
    • Guidance for Standard I: Professionalism
    • Guidance for Standard II: Integrity of Capital Markets
    • Guidance for Standard III: Duties to Clients
    • and 6 more learning modules

    Watch for Disclosure cures everything

    Learning modules
    10
    Questions est.
    2–3 scored sets of questions
    Study time est.
    35–45 hrs
  6. Domain 06 30-35%

    Pathways

    The pathway is the single largest part of Level 3. You choose one of three: Portfolio Management, Private Markets or Private Wealth, and it carries 30-35% of your exam, tested alongside the shared core topics.

    Inside this domain

    • Index-Based Equity Strategies
    • Active Equity Investing: Strategies
    • Active Equity Investing: Portfolio Construction
    • Liability-Driven and Index-Based Strategies
    • and 18 more learning modules

    Watch for Duration for a slope view

    Learning modules
    22
    Questions est.
    6–7 scored sets of questions
    Study time est.
    90–120 hrs

Study the heaviest domains first

Marks follow weight. This order puts the most marks behind you first, across about 280–370 hrs of study.

  1. 6 Pathways 30-35% · 90–120 hrs
  2. 1 Asset Allocation 15-20% · 50–65 hrs
  3. 2 Portfolio Construction 15-20% · 50–65 hrs
  4. 4 Derivatives and Risk Management 10-15% · 35–45 hrs
  5. 5 Ethical and Professional Standards 10-15% · 35–45 hrs
  6. 3 Performance Measurement 5-10% · 20–30 hrs

Try one

Practice questionDomain 6: Pathways

Private Markets pathway: A private equity fund has called $100 million of its $150 million commitment. It has distributed $60 million to limited partners, and the remaining portfolio has a net asset value of $90 million. What is the fund's TVPI?

One trap from every domain

The answer that looks right, and the clue that gives it away.

  • Domain 1

    Highest expected return wins

    Clue A funded ratio, liability duration, goal priority or minimum-return requirement appears in the vignette.

  • Domain 2

    Profitable sponsor means more risk

    Clue The sponsor is cyclical or its business moves with the same factors as the plan's assets.

  • Domain 3

    Positive excess return proves skill

    Clue The benchmark does not match the manager's style or the period is short.

  • Domain 4

    Covered call as protection

    Clue The client's stated concern is a large downside move.

  • Domain 5

    Disclosure cures everything

    Clue The action involves inside information, client assets used for the firm, or outside compensation.

  • Domain 6

    Duration for a slope view

    Clue The vignette states a duration-neutral constraint or a pure slope view.

Other Finance certifications

Study guides for exams that overlap with CFA Level 3.

Practise what you read

CFA Level 3 domains: common questions

How many domains are in the CFA Level 3 exam?

CFA Level 3 has 6 domains with 50 official learning modules between them: Asset Allocation, Portfolio Construction, Performance Measurement, Derivatives and Risk Management, Ethical and Professional Standards and Pathways.

Which CFA Level 3 domain carries the most weight?

Pathways is the heaviest at 30-35%, followed by Asset Allocation (15-20%). The lightest is Performance Measurement (5-10%). Weights come from CFA Institute's official outline.

What is the CFA Level 3 exam format?

Questions: 22 sets: 11 item sets (44 multiple-choice questions) and 11 constructed-response sets; 20 scored. Time allowed: Two 132-minute sessions (4 hours 24 minutes). Passing score: Minimum Passing Score set by the Board (not published).

How long should I study for CFA Level 3?

Our planning estimate is 280–370 hrs across all domains, split by weight. It is an editorial estimate, not an official figure, so adjust it to your experience and to how you score on practice questions.

Where should I start?

Start with Pathways, because it carries the most marks, then work down by weight. Use the checklist on each domain page to confirm you can do what the domain asks before moving on.

Which outline is this guide based on?

This guide follows 2027 CFA Level III Curriculum (core plus pathway topic outlines; applies from the February 2027 exam window), published by CFA Institute. It was last reviewed in October 2026.

Domain names, weights and learning modules come from CFA Institute's official outline (2027 CFA Level III Curriculum (core plus pathway topic outlines; applies from the February 2027 exam window)). Question counts and study hours are editorial planning estimates, not official figures. Last reviewed October 2026.