CFA Level 1 Syllabus & Beginner Guide
CFA Level 1 Full Syllabus (Detailed - 2025)
1. Ethical and Professional Standards (15-20%)
- Code of Ethics and Standards of Professional Conduct
- Ethical responsibilities in the investment profession
- Global Investment Performance Standards (GIPS)
- Ethics application in financial analysis and portfolio management
2. Quantitative Methods (6-9%)
- Time Value of Money (TVM): Present and Future Value, Annuities
- Discounted Cash Flow (DCF) analysis
- Descriptive Statistics: Mean, Median, Mode, Standard Deviation
- Probability concepts and distributions
- Sampling and estimation
- Hypothesis Testing and Confidence Intervals
- Correlation and Linear Regression basics
3. Economics (6-9%)
- Microeconomics: Demand and Supply, Elasticity, Market Structures
- Macroeconomics: GDP, Inflation, Unemployment, Business Cycles
- Monetary and Fiscal Policy
- Aggregate Demand and Supply Model
- International Trade and Capital Flows
- Currency Exchange Rates and Purchasing Power Parity
- Economic Growth and Development
CFA Level 1 Syllabus & Beginner Guide
4. Financial Statement Analysis (11-14%)
- Financial Reporting Standards (IFRS and GAAP)
- Income Statement, Balance Sheet, and Cash Flow Statement
- Financial Ratios and Analysis Techniques
- Revenue and Expense Recognition
- Inventory and Long-Lived Assets
- Taxes and Leases
- Financial Reporting Quality and Earnings Management
5. Corporate Issuers (6-9%)
- Corporate Governance and ESG (Environmental, Social, Governance)
- Business Models and Stakeholder Management
- Capital Investment Decisions
- Working Capital Management
- Dividend and Share Repurchase Policies
- Cost of Capital and Capital Structure Decisions
6. Equity Investments (11-14%)
- Types of Equity Securities and Stock Exchanges
- Primary and Secondary Markets
- Market Indices and Benchmarking
- Industry and Company Analysis
- Equity Valuation Models (DCF, Dividend Discount Model, P/E)
- Market Efficiency and Behavioral Finance
CFA Level 1 Syllabus & Beginner Guide
7. Fixed Income (11-14%)
- Features of Bonds and Bond Markets
- Pricing and Valuation of Bonds
- Yield Measures (YTM, Spot, Forward)
- Duration and Convexity
- Credit Risk and Credit Ratings
- Term Structure of Interest Rates and Yield Curves
- Mortgage-Backed and Asset-Backed Securities
8. Derivatives (5-8%)
- Types of Derivatives: Forwards, Futures, Options, Swaps
- Derivative Markets and Instruments
- Pricing and Valuation of Derivatives
- Uses of Derivatives in Risk Management
9. Alternative Investments (5-8%)
- Types: Real Estate, Commodities, Hedge Funds, Private Equity
- Characteristics and Valuation of Alternative Assets
- Investment Strategies and Liquidity Considerations
- Due Diligence and Performance Measurement
10. Portfolio Management and Wealth Planning (8-12%)
- Portfolio Concepts: Diversification, Risk and Return
- Modern Portfolio Theory and Efficient Frontier
CFA Level 1 Syllabus & Beginner Guide
- Capital Asset Pricing Model (CAPM)
- Investment Policy Statement (IPS)
- Behavioral Finance Principles
- Portfolio Construction and Asset Allocation
- Risk Management Techniques
