📈 CFA Level I – Chartered Financial Analyst

Build a Strong Foundation in Investment Analysis, Financial Markets and Portfolio Management

The Chartered Financial Analyst (CFA) Level I examination is the first stage of the globally recognised CFA Program conducted by the CFA Institute.

The programme develops fundamental knowledge of investment analysis, financial reporting, asset valuation, economics, risk management and portfolio construction.

CFA Level I focuses on understanding essential financial concepts and applying them to investment-related problems. It is suitable for students, graduates and working professionals interested in investment banking, equity research, asset management, wealth management, financial analysis and portfolio management.

📚 Course Structure & Syllabus

The CFA Level I curriculum comprises 10 core subject areas covering financial analysis, investment products, valuation techniques and professional ethics.

The following topic weights reflect the 2027 CFA Level I curriculum, applicable from the February 2027 examination onwards.

📘 1. Ethical and Professional Standards (10–15%)

This subject introduces ethical principles and professional responsibilities in the investment industry.

Key Topics:

• CFA Institute Code of Ethics
• Standards of Professional Conduct
• Ethical decision-making
• Professional integrity and responsibilities
• Conflicts of interest and disclosure requirements
• Global Investment Performance Standards (GIPS)

📊 2. Quantitative Methods (11–14%)

Quantitative Methods develops mathematical and statistical techniques used in financial analysis.

Key Topics:

• Time Value of Money (TVM)
• Present value and future value
• Statistical measures and probability
• Probability distributions
• Sampling and estimation
• Hypothesis testing
• Correlation and regression
• Applications of quantitative methods in investment analysis

🌍 3. Economics (6–9%)

Economics explains how economic forces influence financial markets, business decisions and investment performance.

Key Topics:

• Demand, supply and market equilibrium
• Elasticity and market structures
• Business cycles and economic growth
• Inflation and interest rates
• Monetary and fiscal policies
• Currency exchange rates
• International trade and capital flows

📑 4. Financial Statement Analysis (11–14%)

This subject develops the ability to interpret financial statements and evaluate corporate financial performance.

Key Topics:

• Financial reporting standards
• Income statements and balance sheets
• Cash flow statements
• Revenue and expense recognition
• Inventory and long-term assets
• Financial liabilities
• Financial ratios and profitability analysis
• Financial statement interpretation

💼 5. Corporate Finance (6–9%)

Corporate Finance focuses on financial decisions undertaken by companies to create shareholder value.

Key Topics:

• Corporate governance
• Capital investment decisions
• Capital structure
• Cost of capital
• Financial leverage
• Working capital management
• Stakeholder management

📈 6. Equities (11–14%)

This subject introduces equity markets, stock valuation and fundamental investment analysis.

Key Topics:

• Equity securities and financial markets
• Stock exchanges and market indices
• Industry and company analysis
• Equity valuation principles
• Dividend Discount Models
• Price and earnings multiples
• Fundamental analysis of companies

💰 7. Fixed Income (11–14%)

Fixed Income develops knowledge of debt instruments, bond valuation and interest rate risk.

Key Topics:

• Bond characteristics and classifications
• Bond pricing and valuation
• Yield measures
• Yield curves and term structure
• Duration and convexity
• Credit risk analysis
• Asset-backed securities
• Interest rate risk management

📉 8. Derivatives and Risk Management (6–9%)

This subject introduces derivative instruments and their applications in financial markets.

Key Topics:

• Forward contracts
• Futures contracts
• Options
• Swaps
• Derivative pricing concepts
• Hedging and speculation
• Arbitrage principles
• Financial risk management

🏢 9. Alternative Investments (6–9%)

Alternative Investments introduces investment opportunities beyond traditional equities and bonds.

Key Topics:

• Private equity
• Hedge funds
• Real estate investments
• Infrastructure investments
• Commodities
• Alternative investment characteristics
• Risk, return and diversification benefits

🎯 10. Portfolio Construction (8–12%)

Portfolio Construction focuses on investment risk, return and the principles of building diversified portfolios.

Key Topics:

• Risk and return measurement
• Portfolio diversification
• Portfolio risk
• Modern Portfolio Theory
• Capital Asset Pricing Model (CAPM)
• Investor objectives and constraints
• Asset allocation fundamentals
• Portfolio construction principles

🎓 Eligibility Criteria

Candidates must satisfy at least one of the following requirements to register for CFA Level I:

1. Bachelor’s Degree

• Hold a bachelor’s degree or an equivalent recognised qualification.

2. Undergraduate Student

• Be within 23 months of completing an undergraduate degree at the time of the selected Level I examination window.

3. Professional Work Experience

• Have a combination of 4,000 hours of professional work experience and/or higher education, accumulated over at least three sequential years, subject to CFA Institute requirements.

Candidates must also possess a valid international travel passport and meet CFA Institute’s registration and identification requirements.

📝 Examination Pattern

CFA Level I is a computer-based examination conducted at authorised examination centres worldwide.

Important Examination Guidelines:

• Each examination session contains 90 multiple-choice questions.
• All questions carry equal weight.
• There is no negative marking for incorrect answers.
• Only CFA Institute-approved calculators are permitted.
• Candidates must complete the required Practical Skills Module (PSM) to receive their examination results.

✅ Passing Criteria

CFA Level I does not have a fixed passing percentage.

The Minimum Passing Score (MPS) is determined by CFA Institute in accordance with its examination standards.

Important Information:

• Candidates must meet or exceed the applicable MPS to pass.
• Examination results are reported as Pass or Fail.
• Performance information is provided across curriculum topics.
• Candidates must satisfy the Practical Skills Module requirement to receive their results.
• Passing Level I allows eligible candidates to progress to CFA Level II.

🎯 Learning Objectives

CFA Level I develops the ability to:

• Understand financial markets and investment instruments.
• Analyse corporate financial statements.
• Apply quantitative techniques to investment decisions.
• Evaluate equity and fixed income securities.
• Understand financial derivatives and alternative investments.
• Assess investment risk and diversification.
• Apply fundamental portfolio construction principles.
• Recognise ethical responsibilities in the investment profession.

🚀 Build Your Foundation in Investment and Financial Analysis

CFA Level I establishes essential knowledge in investment valuation, financial reporting, economics, quantitative analysis, ethics and portfolio management.

The concepts provide a foundation for more advanced investment analysis at CFA Level II and portfolio-oriented decision-making at CFA Level III.

CFA Level I is the first step towards developing the financial knowledge, analytical capabilities and professional judgement required in the global investment industry.

💻 Technical Requirements – Actuators Educational Institute (AEI)

To ensure a smooth and uninterrupted learning experience, students enrolling in courses offered by Actuators Educational Institute (AEI) are required to use devices that meet the minimum technical specifications supported by the AEI Learning Application.

📱 Minimum Device & Operating System Requirements

📌 Important Information for Students

• Students must ensure that their devices meet the above minimum technical requirements before enrolling in a course.
• A stable internet connection is recommended for accessing online lectures, study materials and other digital learning resources.
• Devices running older or unsupported operating systems may experience compatibility issues or may not support the application.

Note: These are the official minimum technical requirements for accessing courses through the Actuators Educational Institute (AEI) Learning Application. Students are advised to verify device compatibility before completing their course enrolment.