How to Study for the CFA Level III

The CFA Level III at a glance

Level: Level III of III sequential exams required for the CFA charter
Format: 11 item sets (4 multiple-choice questions each) and 11 constructed-response (essay) sets, split into two sessions of 2 hours 12 minutes (4 hours 24 minutes total), computer-based, with an optional break between sessions; one item set and one constructed-response set are unscored trial sets
Passing score: CFA Institute does not publish a fixed passing percentage. The Minimum Passing Score is set separately for each exam administration through a criterion-referenced standard-setting process.
Number of questions: 44 multiple-choice questions in 11 item sets, plus 11 constructed-response sets
Prerequisites: Passing the CFA Program Level II exam, and meeting the CFA Program enrollment requirements.
Who it's for: Candidates who have passed Level II and are completing the CFA charter, including portfolio managers, wealth advisers and other professionals who build and manage portfolios for clients.

Read the official exam guide
Official CFA Level III exam guide (CFA Institute) ↗
Know what the exam covers
- Asset Allocation15-20%
  - Asset Allocation
    Capital market expectations, principles of asset allocation, and asset allocation with real-world constraints.
- Portfolio Construction15-20%
  - Portfolio Construction
    Portfolio management for institutional and individual investors, implementation and rebalancing.
- Performance Measurement5-10%
  - Performance Measurement
    Performance attribution, benchmarking and performance appraisal.
- Derivatives and Risk Management10-15%
  - Derivatives and Risk Management
    Option strategies and the use of derivatives to manage interest rate, equity and currency risk.
- Ethical and Professional Standards10-15%
  - Ethical and Professional Standards
    The Code and Standards of Professional Conduct and the Global Investment Performance Standards.
- Pathway30-35%
  - Portfolio Management Pathway
    Index-based and active equity and fixed-income strategies, and trade strategy and execution.
  - Private Markets Pathway
    Private equity, private debt, private real estate and infrastructure, and fund structures.
  - Private Wealth Pathway
    Wealth planning, investment planning, preserving and transferring wealth, and advising wealthy clients.
Practice by topic
Try mixed practice questions
CFA Level III practice questions with answers

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