CFA final success rate climbs to 50% while below decade average

The pass rate for the final level of the chartered financial analyst exam — in which test-takers are allowed a choice of specialty — rose slightly while still remaining lower than the historic average.

In August, 50% of candidates passed the Level III test, up from 49% for those who sat for the exam in February and 48% for candidates who took it a year earlier, the CFA Institute said Thursday. That’s still below the historic 10-year average of 51% passing.

Test-takers sitting for the August final exam select from three “specialized pathways,” choosing among private wealth, private markets or the traditional portfolio-management path. The CFA Institute has called all three pathways “equally rigorous,” giving candidates the same CFA charter should the final exam be passed.

The institute continues to find that test-takers who delay their exams have a much lower chance of success. First-timers scored significantly above the average pass rate, with 59% succeeding, while those with at least one deferral had a 33% pass rate, according to Chris Wiese, managing director for education at the institute. Candidates should try to stay on schedule for their exams, he said.

The CFA charter is a coveted certification for professionals across the finance industry. The three-level test to become a charterholder is offered several times a year and can lead to new job opportunities and higher salaries. More than 14,500 candidates sat for the Level III exam in August, which was administered at 462 proctored, computer-based testing centers around the world.

Those who sat for the first two CFA tests in August got their results earlier this month. Level I test-takers had a 43% success rate, and 44% of Level II candidates passed.