CFA Pass Rates 2026: The Complete Level-by-Level Breakdown
The CFA (Chartered Financial Analyst) designation is widely regarded as the gold standard in investment management. But earning those three letters after your name is no easy feat. With pass rates ranging from roughly 40% at Level 1 to around 52% at Level 3, more than half of all CFA candidates fail their exams in any given window.
If you are planning to sit for the CFA exam in 2026, understanding historical pass rate data is not just interesting trivia — it is a strategic necessity. Knowing where candidates struggle, how pass rates have shifted over the years, and what separates successful candidates from the rest can fundamentally change how you prepare.
In this comprehensive guide, we break down CFA pass rates from 2018 through 2025 for all three levels, examine the dramatic post-COVID drop and subsequent recovery, compare the CFA against other finance certifications, and share proven strategies to help you beat the average.
CFA Level 1 Pass Rates (2018–2025)
Level 1 of the CFA exam consistently records the lowest pass rates among all three levels. This is partly because Level 1 attracts the widest pool of candidates, including many who are testing their interest in the charter without committing fully to the preparation required. The result is a candidate pool with highly variable levels of readiness.
| Period | Approx. Pass Rate | Context |
|---|---|---|
| 2018–2019 (pre-COVID) | ~42–43% | Stable two-window paper format |
| December 2020 | Elevated | Deferred exams; extra study time |
| 2021 (CBT transition) | Sharp decline; July 2021 hit ~22% | CBT rollout + pandemic disruption |
| 2022–2023 | ~35–40% | Gradual recovery |
| 2024–2025 | ~40–45% | Approaching pre-COVID norms |
| 10-year average | ~41% | Long-term Level 1 benchmark |
Source: CFA Institute exam-results-and-pass-rates page. Pre-CBT figures are window-specific; post-2021 ranges reflect aggregate trends across multiple windows per year.
The data tells a striking story. Before the pandemic, Level 1 pass rates held steady in the low- to mid-40% range. The December 2020 exam saw an elevated pass rate because candidates who had their exams deferred gained months of additional study time. But the transition to computer-based testing (CBT) starting in early 2021, combined with pandemic disruptions, sent pass rates plummeting to a historic low of around 22% in July 2021.
The recovery since then has been gradual but encouraging. By 2025, Level 1 pass rates have climbed back into the low-40% range, approaching the pre-pandemic average of 42–43%.
CFA Level 2 Pass Rates (2018–2025)
Level 2 is widely considered the most technically demanding of the three CFA exams, with its heavy emphasis on asset valuation, financial reporting analysis, and quantitative methods applied to real-world vignettes. Despite this reputation, Level 2 pass rates tend to be higher than Level 1 because the candidate pool has already been filtered — only those who passed Level 1 sit for Level 2.
| Period | Approx. Pass Rate | Context |
|---|---|---|
| 2018–2019 (pre-COVID) | ~44–45% | Annual paper-based exam |
| 2020 (deferred) | Elevated | Pandemic-related study time advantage |
| 2021 (CBT transition) | Sharp drops; some windows ~29% | Format change + disruption |
| 2022–2023 | ~40–55% (window-dependent) | Volatile recovery |
| 2024–2025 | ~45–50% range typically | Stabilising around historical norm |
| 10-year average | ~45% | Long-term Level 2 benchmark |
Source: CFA Institute exam-results-and-pass-rates page. Individual window rates vary materially; ranges reflect this volatility.
Level 2 has shown the most volatility of all three levels in recent years, with some 2021 windows dropping into the high-20% range before recovering. These wide fluctuations partly reflect smaller candidate cohorts in certain windows and the Board of Governors’ modified Angoff standard-setting process for the minimum passing score (MPS) for each administration.
CFA Level 3 Pass Rates (2018–2025)
Level 3 consistently records the highest pass rates, typically ranging between 48% and 56%. By the time candidates reach Level 3, they are a self-selected group of highly committed professionals who have already demonstrated mastery of the foundational and technical material. Level 3 tests portfolio management and wealth planning skills through constructed-response (essay-type) questions alongside item sets.
| Period | Approx. Pass Rate | Context |
|---|---|---|
| 2018–2020 (pre-CBT) | ~55–56% | Stable annual paper-based exam |
| 2021 (CBT transition) | Dropped into high-30%/low-40% range | Pandemic + format change |
| 2022–2023 | ~47–50% | Gradual recovery |
| 2024–2025 | ~48–52% | Approaching long-term norm |
| 10-year average | ~52% | Long-term Level 3 benchmark |
Source: CFA Institute exam-results-and-pass-rates page. Pre-2021 figures reflect a single annual sitting; post-2021 figures reflect multiple windows per year.
Level 3 has shown notable resilience, with pass rates recovering to roughly the long-term ~52% average by 2025. The pre-pandemic stability around 55–56% has not fully returned, but the trajectory is unmistakably upward.
Historical Pass Rate Trends: Visual Overview
Why Did CFA Pass Rates Drop After COVID-19?
The 2021 pass rate collapse was the most dramatic shift in CFA exam history. Level 1 fell from an elevated rate at the end of 2020 to approximately 22% in July 2021 — the lowest figure on record. Understanding why this happened is crucial for anyone preparing for the exam today.
1. Transition to Computer-Based Testing (CBT)
CFA Institute moved the Level 1 exam from paper-based testing to CBT starting in February 2021. This was not merely a format change — it fundamentally altered the testing experience. Candidates had to adapt to reading vignettes on screen, managing digital tools, and navigating a new interface under time pressure. Early CBT cohorts were essentially guinea pigs adjusting to an unfamiliar environment.
2. Increased Testing Frequency Led to Reduced Preparation
With CBT, CFA Institute expanded from two annual exam windows to up to six for Level 1. While this provided more scheduling flexibility, it also encouraged some candidates to register for earlier windows before they were fully prepared, thinking they could simply retake the exam a few months later. This "attempt early, retake if needed" mindset diluted the overall preparation quality in each window.
3. Pandemic Disruptions to Study Routines
Lockdowns, remote work, mental health challenges, and general uncertainty took a toll on study discipline. Many candidates who had their exams deferred multiple times lost momentum, forgot material, or simply burned out before sitting for the exam.
4. Expanded Candidate Pool
The ease of scheduling CBT exams, combined with more affordable early-registration fees, attracted a broader candidate pool that included more first-time and exploratory test-takers who had not committed to the rigorous 300+ hours of recommended study time.
5. Curriculum Changes and New Topic Areas
CFA Institute continued to update the curriculum during this period, adding topics around fintech, ESG, and data science. Candidates who relied on outdated study materials or did not adequately cover new sections found themselves unprepared for these additions.
CFA vs FRM vs CA: Pass Rate Comparison
How does the CFA compare to other premier finance and accounting certifications? The comparison reveals where each credential sits on the difficulty spectrum.
| Certification | Governing Body | Levels / Parts | Avg. Pass Rate | Difficulty Rating |
|---|---|---|---|---|
| CFA | CFA Institute | 3 Levels | L1 ~41%, L2 ~45%, L3 ~52% (10-yr avg) | Very High |
| FRM | GARP | 2 Parts | Part 1 ~46%, Part 2 ~55% | High |
| CA (India) | ICAI | 3 Levels | Final typically ~10–20% | Extremely High |
CFA vs FRM
The FRM (Financial Risk Manager) exam, administered by GARP, has two parts with long-term average pass rates of roughly 46% for Part 1 and 55% for Part 2 (as published by GARP). While the FRM is narrower in scope — focused specifically on risk management — it is not to be underestimated. However, the CFA’s three-level structure means the cumulative probability of passing all three levels on the first attempt is considerably lower than the FRM’s two-part path.
CFA vs CA (India)
India’s Chartered Accountancy exam, administered by ICAI, has notoriously low pass rates. The CA Final exam typically sees pass rates in the 10–20% range for both groups combined, depending on the cycle. While the exams test different skill sets — CA focuses on accounting, auditing, and taxation while the CFA centres on investment analysis — the CA exam’s pass rates make even the CFA look accessible by comparison.
7 Key Factors That Affect CFA Pass Rates
Pass rates are not purely a function of exam difficulty. Multiple factors determine whether a candidate clears the bar, and understanding these can help you plan a more effective preparation strategy.
1. Study Hours and Consistency
CFA Institute recommends approximately 300 hours of study per level, and successful candidates frequently report study commitments at or above this benchmark. However, total hours alone are not the deciding factor — consistency matters more. Candidates who study for 2–3 hours daily over 5–6 months consistently outperform those who cram intensively in the final weeks. Spacing study sessions allows for better retention through the psychological principle of distributed practice.
2. Quality of Study Materials
The CFA curriculum is vast, spanning over 4,000 pages across all readings. Candidates who rely solely on the official curriculum without supplementing with structured third-party prep materials often struggle with time management and topic prioritisation. Prep providers offer condensed notes, question banks, and video lectures that help candidates focus on high-yield topics — subjects that consistently carry heavier weights on the exam.
3. Practice Exams and Mock Tests
Candidates who regularly take full-length mock exams under timed conditions pass at significantly higher rates than those who do not. Mock exams build stamina, expose weaknesses, and calibrate your expectations for exam-day difficulty. Aim for at least 4–6 full mock exams in the final month of preparation.
4. First-Time vs Repeat Candidates
CFA Institute and candidate survey data consistently indicate that first-time test takers pass at notably higher rates than repeat candidates. This is not because repeat candidates are less capable — it is because many repeat candidates do not substantially change their preparation approach between attempts. If you are retaking the exam, it is critical to diagnose exactly where you fell short and adjust your strategy accordingly.
5. Professional Background and Work Experience
Candidates working in investment management, equity research, or portfolio management roles tend to perform better because they encounter CFA-relevant concepts in their daily work. Conversely, candidates from non-finance backgrounds may need to allocate more study time to foundational topics like financial statement analysis and fixed income.
6. Exam Window Selection
Historical data reveals pass rate variations across exam windows within the same year. For example, May exam windows have occasionally shown higher pass rates than August or November windows for Level 2. While the exam difficulty is calibrated to be equivalent across windows, the composition of the candidate pool can vary, which influences aggregate pass rates.
7. Mental Stamina and Exam-Day Execution
The CFA exam is a marathon, not a sprint. Level 1 consists of 180 multiple-choice questions across two 2-hour-15-minute sessions. Level 2 features 88 questions tied to vignettes. Level 3 combines item sets with constructed-response questions. Fatigue, anxiety, and poor time management on exam day can cause even well-prepared candidates to underperform. Building mental endurance through timed practice is essential.
10 Proven Strategies to Beat the Average CFA Pass Rate
Given that more than half of candidates fail, what separates the successful minority from the rest? Here are ten actionable strategies drawn from candidate surveys, CFA Institute data, and coaching experience.
1. Start Early and Build a Study Calendar
Begin your preparation at least 5–6 months before the exam date. Map out a week-by-week study plan that covers all readings with time for revision and mock exams in the final month. Front-loading the heavier topics (Financial Reporting and Analysis for Level 1, Equity Valuation for Level 2) ensures you have ample time for review.
2. Master the Curriculum Weights
Not all topics carry equal weight on the exam. For Level 1, Ethics, Financial Reporting, and Quantitative Methods together account for over 40% of the exam. Focus your energy on high-weight topics while ensuring you cover every reading at least once. Strategic prioritisation is more effective than trying to master every page equally.
3. Use the Official CFA Institute Question Bank
CFA Institute provides a practice question bank aligned with the current curriculum. These questions are the closest proxy to actual exam questions in terms of difficulty, format, and style. Supplement with third-party question banks, but always benchmark your performance against the official resource.
4. Take Full-Length Mock Exams Under Exam Conditions
Simulate the exam environment as closely as possible: timed sessions, no interruptions, no reference materials. Track your score progression across mock exams. If you are consistently scoring above 65–70% on mocks, you are in a strong position. Below 60%, you likely need to intensify your preparation.
5. Focus on Ethics — It Can Make or Break You
CFA Institute has stated that performance on the Ethics section can push borderline candidates above or below the minimum passing score. Ethics is not just another topic — it is a potential tiebreaker. Candidates who perform strongly in Ethics gain a meaningful advantage, particularly when their overall score falls near the MPS.
6. Join a Study Group or Coaching Program
Structured coaching provides accountability, expert guidance on complex topics, and access to curated study materials. Study groups offer peer learning and help maintain motivation during the long preparation period. Candidates who study in isolation are more likely to develop blind spots in their understanding.
7. Review Weak Areas Relentlessly
After each practice session, categorise questions into "mastered," "needs work," and "completely lost." Spend 60–70% of your revision time on the "needs work" category, where marginal improvement will have the biggest impact on your score. Do not waste time over-polishing topics you already know well.
8. Understand How the Minimum Passing Score (MPS) Works
CFA Institute does not publish the MPS in public, and the cut score is set independently for each exam administration by the Board of Governors using a modified Angoff standard-setting methodology. The MPS is therefore not a fixed percentage. The practical takeaway: do not target a specific percentage from rumour or hearsay — instead, aim to score consistently and comfortably above the mid-70% range on quality mock exams, which historically aligns with a strong passing margin.
9. Prioritise Sleep and Health in the Final Weeks
Research consistently shows that sleep deprivation impairs cognitive function, memory consolidation, and decision-making — precisely the skills you need on exam day. In the final two weeks, prioritise 7–8 hours of sleep, maintain regular exercise, and avoid the temptation to sacrifice health for additional study hours.
10. Learn From Failed Attempts
If you do not pass, use your exam result report to identify specific topic areas where your performance fell below the 70th percentile. The CFA Institute result report provides a topic-level breakdown that serves as a diagnostic tool for your next attempt. Candidates who systematically address their weaknesses between attempts dramatically improve their chances of passing.
How CFA Exam Scoring & Results Reporting Work
The CFA exam uses a standard-setting process where the Board of Governors determines the minimum passing score (MPS) for each administration using a modified Angoff methodology. The MPS is not a fixed percentage and is not publicly disclosed by CFA Institute. Pass/fail decisions are made against the cut score set for that specific exam.
Candidates receive a topic-level performance summary along with their pass/fail outcome, which is the most useful tool for diagnosing weaknesses ahead of any retake. For preparation purposes, the practical implication is simple: track your readiness using high-quality mock exams and aim to score comfortably above the mid-70% mark on practice questions rather than chasing an unpublished MPS number.
What the Recovery Trend Means for 2026 Candidates
The data paints a cautiously optimistic picture for 2026. Pass rates across all three levels are converging toward pre-pandemic averages, suggesting that the worst effects of the CBT transition and pandemic disruption are behind us. Recent Level 1 windows are tracking close to the long-term ~41% average, and Level 2 and Level 3 are sitting near their long-term norms as well.
However, this does not mean the exam is getting easier. CFA Institute’s standard-setting process calibrates the MPS for each administration to maintain consistent standards. What the recovery does indicate is that candidates have adapted to the computer-based format and are returning to more disciplined preparation habits. The playing field is normalising, which means your preparation quality — not external disruptions — will be the primary determinant of your success. Note also that the 2024 curriculum restructure may continue to influence pass rates over the next several windows as candidates adapt to the updated content.
Frequently Asked Questions About CFA Pass Rates
Recent CFA Level 1 pass rates have been tracking close to the long-term 10-year average of approximately 41%, signalling a strong recovery from the pandemic-era lows. For the latest exact window-by-window figures, refer to the CFA Institute exam-results-and-pass-rates page, which is updated after every administration.
The 2021 pass rate decline was primarily caused by the transition from paper-based to computer-based testing (CBT), increased exam frequency that encouraged underprepared candidates to sit early, pandemic-related disruptions to study routines, and an expanded candidate pool. Level 1 hit a record low of approximately 22% in July 2021. The decline reflected preparation quality more than a step-change in exam difficulty.
Level 3 consistently has the highest pass rate, with a 10-year average of approximately 52%. This is because Level 3 candidates are a self-selected group who have already demonstrated proficiency by passing both Level 1 and Level 2. Level 1 has the lowest pass rate (~41% over 10 years).
CFA Institute recommends approximately 300 hours per level, and surveys of successful candidates typically point to comparable or higher commitments. The quality and consistency of study matter more than raw hours: spreading preparation over 5–6 months with daily study sessions of 2–3 hours is more effective than intensive last-minute cramming.
Each exam tests different competencies. The CFA has long-term level-wise pass rates of approximately 41% (L1), 45% (L2) and 52% (L3); because the three-level path compounds, the cumulative probability of passing all three on first attempts is much lower than any individual rate. The FRM is somewhat more accessible, with Part 1 and Part 2 long-term pass rates of roughly 46% and 55% respectively. India’s CA Final exam is arguably the most difficult by pass rate alone, with rates typically in the 10–20% range. The CFA sits between the FRM and CA on this spectrum.
Yes. CFA Institute and prep-provider surveys consistently show that first-time candidates pass at meaningfully higher rates than repeat candidates. This gap highlights the importance of thorough first-attempt preparation. Repeat candidates should critically reassess their study methods rather than simply putting in more hours with the same approach.
CFA Institute does not publish the MPS. The Board of Governors sets the cut score for each exam administration using a modified Angoff standard-setting methodology, which considers exam difficulty and the performance of minimally qualified candidates. Because the MPS varies by administration, candidates should not chase a specific percentage but instead aim to score comfortably above the mid-70% range on high-quality mock exams.
Structured coaching significantly improves pass rates by providing expert instruction on complex topics, curated study plans that prioritise high-weight areas, regular mock exams with performance analytics, and accountability that keeps you on track through the 5–6 month preparation period. QuintEdge's CFA coaching program is designed to address the most common reasons candidates fail, including poor time management, inadequate practice, and weak coverage of Ethics and Financial Reporting.