In addition to completing other requirements, financial professionals must pass the CFA Program Level II Exam in order to become an official CFA chartholder. The second of three CFA Institute exams, the CFA Program Level II focuses primarily on asset valuation. Individuals taking the exam must apply the tools and concepts that they mastered at Level I in order to analyze and value investments. The CFA Institute also expects Level II candidates to have a comprehensive knowledge of capital market theory and industry and company analysis.
The CFA Program Level II Exam consists of 120 multiple-choice questions that cover material from 20 different vignettes (or “mini-cases”). After reading each vignette, which range from one to three pages in length, test takers must answer six questions.
The minimum passing score for the CFA Program Level II Exam varies from year to year. In 2016, test takers had to achieve a minimum score of 46 percent to pass.
About the Author:
Kevin Colvin is an experienced New York City financial services professional who currently serves as a director in the global market sales and trading division of Cantor Fitzgerald. Before assuming this position in 2013, he was a vice president of debt capital markets for Cantor Fitzgerald. In addition to holding Series 7 and Series 63 securities licenses from FINRA, Kevin Colvin is a Chartered Financial Analyst (CFA) Level II candidate.