You Failed the CFA Level 1 Exam? Here’s How to Pass It Next Time!

Failed the CFA Level 1 exam? You’re not alone—and this isn’t the end of your CFA journey.

Many candidates face this setback, but what really makes the difference is how you respond. The good news? You can bounce back stronger and pass the exam on your next attempt with a smarter, more focused study plan. In this guide, we’ll walk you through exactly what to do after failing and how to prepare for success next time.

What Happens If You Fail the CFA Level 1 Exam?

The first thing to understand after a failed attempt is that you’re not alone in this experience. It’s common to feel a mix of emotions: frustration, disappointment, or even self-doubt. If you’ve failed CFA Level 1, you might even start questioning your abilities, asking yourself, “why do I fail every test?” But know this: failing the CFA exam is not the end of the road.

In fact, the CFA Institute reports that pass rates for Level 1 have historically hovered around 40% or lower. This means the majority of candidates don’t make it through on the first try. The key takeaway here is that failing isn’t an anomaly—it’s part of the journey for many candidates. Fortunately, what happens if you fail the CFA exam? You’ll regroup, revise, and try again without any penalties for your previous attempt.

Processing the Failure

The emotional toll of failure is real, but the way you respond is what matters most. It’s crucial to acknowledge your feelings instead of pushing them aside. Allow yourself to think, “I failed an exam,” and embrace the disappointment briefly. But don’t let it fester. Remember, failing an exam is often a chance to learn, recalibrate, and come back stronger.

Take a step back and consider the bigger picture. Failing doesn’t mean you lack intelligence or drive; it simply means there’s room for growth. Many ask themselves, “why do I study and still fail?”—the answer often lies not in effort but in strategy. Focus on what went wrong and how you can adjust moving forward.

Analyze Your Results and Identify Weaknesses

Now, the real work begins. After receiving your results, spend time reviewing your performance. Where did you fall short? Was it Quant, Financial Reporting and Analysis, or Ethics? The CFA Institute provides a breakdown of your performance across different topics, which is crucial for figuring out where to focus next time. If you’re asking, “what to do after failing a test?” the answer is to diagnose the weaknesses.

Consider revisiting your Practice Skill Modules (PSMs) or any study tools you may have underused. It’s all about figuring out what went wrong so that your next attempt is smarter, not harder. If you’re wondering, “how many times can you fail?”—don’t focus on that. Instead, concentrate on not making the same mistakes again.

How Many Times Can You Retake the CFA Exam?

Many candidates worry after a failed attempt: “how many times can you take the CFA exam?” The answer is that there is no official limit on how many times you can retake the CFA exams. You can retake the exam as many times as you need, but each attempt is costly in terms of both time and money.

That said, while there are no restrictions on how many times you can sit for the exam, the goal should be to pass sooner rather than later. This is why being fully prepared before registering for another exam cycle is critical. Instead of rushing to retake it, use your failure as an opportunity to fully understand what went wrong and how to fix it.

When Should You Retake the CFA Exam?

Choosing when to retake the exam is a critical decision. If you’re feeling pressured, take a moment to ask yourself: “Did I pass?” or “what if I fail again?” You may be tempted to jump right into the next available cycle, but that might not be the best approach. Give yourself enough time to properly prepare. The CFA Institute offers multiple exam windows each year, typically in February, May, or later. Each cycle gives you the flexibility to choose a timeline that works for your study plan.

When considering when to retake the exam, assess your confidence and readiness. Jumping back in too soon can lead to another failed exam. Ensure your decision is backed by a solid study strategy that addresses the key weaknesses from your previous attempt.

Creating a Study Plan for Success

One of the most common reasons candidates fail the CFA exam is because they didn’t have an effective study plan. Many candidates fall into the trap of thinking they can just repeat what they did last time. But if your old methods didn’t work, it’s time to create a new, tailored study strategy. It’s not about how many hours you spend studying; it’s about how effectively you spend them.

Focus on areas that gave you trouble during the last exam. For instance, if you struggled with Financial Reporting and Analysis (FRA) or Quantitative Methods, devote extra time to mastering those sections. Engaging with CFA practice questions and mock exams can be invaluable in this process. Mock exams help you get comfortable with the exam format and time management.

What If You Know You’re Going to Fail Beforehand?

This is one of the toughest situations to be in. If you’re in the weeks leading up to the exam and have that sinking feeling that you’re not ready, what should you do? Should you go ahead and take the exam anyway, or should you pull out? The CFA Institute allows you to postpone your exam date, but that may not always be an option depending on how close you are to exam day.

Even if you feel underprepared, taking the exam can still be valuable. Think of it as a scouting mission. By attending the exam, you can experience the full process, work through the exam under timed conditions, and identify where you’re weak. This insight will give you a clearer understanding of what to improve for the next round.

Failed CFA Exam? 5 Steps to Recover

If you’ve failed the CFA exam, here’s a roadmap to recover and retake with more confidence:

1. Acknowledge the failure: It’s okay to admit that you failed. What’s important is not to stay stuck in that mindset.
2. Visualize the bigger picture: One failure doesn’t define your entire journey.
3. Know how to tell people: Explaining your situation to colleagues or friends without losing confidence is key.
4. Analyze your results: Revisit the exam results and determine where you went wrong.
5. Decide on your next step: Now it’s time to map out a smarter study strategy for your retake.

Takeaways from Recent CFA Exam Pass Rates

You’re not alone in this struggle. Recent CFA exam pass rates have been notably lower, reflecting the increasing difficulty of the exams. While this might seem discouraging, it emphasizes the need for strategic preparation rather than just working harder. With pass rates often below 40%, the CFA exam demands not just effort but effective planning.

Ready to Pass Next Time? Resources to Help You

To ensure success next time, here are the key resources that can make the difference:

• Mock Exams: Simulate the actual exam environment to better prepare for test day.
• Practice Questions: Engage with as many practice questions as possible to improve your problem-solving speed.
• Study Notes: Use comprehensive study notes to cement your understanding of the key concepts.
• Video Lessons: Visual aids can help you grasp complex concepts more effectively.

What to Do Next Time to Pass

Now that you’ve identified what went wrong the first time around, it’s essential to gear up for a stronger attempt. Preparing for your next CFA Level 1 exam should focus on improving your approach rather than merely repeating past efforts. It’s about refining your strategy, sharpening your study habits, and maximizing the use of available resources.

Mock Exams: AnalystPrep offers a comprehensive suite of mock exams that are invaluable for candidates looking to pass the CFA exam. These exams simulate real exam-day conditions, allowing you to experience the pressure and timing you will face on the actual test day. They provide insights into your time management skills and highlight the areas of the syllabus you need to revisit. Treat these mock exams as dress rehearsals; the more you practice, the better your performance will be on exam day.

Practice Questions: Engaging with practice questions daily is one of the best ways to reinforce your understanding of concepts. AnalystPrep provides thousands of practice questions tailored to reflect the format and difficulty of the CFA Level 1 exam. Instead of passively reviewing your notes, challenge yourself by solving these questions under timed conditions. This approach not only solidifies your knowledge but also enhances your problem-solving speed, making you more adept during the exam.

Study Notes: Reviewing well-structured study notes can help condense the CFA curriculum into manageable sections. AnalystPrep’s study notes focus on simplifying complex concepts, making it easier for you to grasp the material. Use these notes in conjunction with your practice questions to ensure comprehensive coverage of the syllabus without feeling overwhelmed by the volume of information.

Video Lessons: Sometimes, traditional reading isn’t enough to grasp difficult concepts. Video lessons can bridge that gap effectively. AnalystPrep’s video lessons break down challenging topics using visual aids and step-by-step explanations, which enhance your comprehension. Incorporating these lessons into your study routine can reinforce your learning and ensure a thorough understanding of key subjects.

Building Confidence for Your Retake

Confidence plays a massive role in passing the CFA Level 1 exam, and after failing once, it’s easy to feel a dip in self-assurance. However, confidence stems from being well-prepared rather than perfection. If you are consistently working through mock exams, identifying your weak points, and steadily improving your scores, you’ll naturally feel more self-assured when entering the exam room.

It’s important to remind yourself that a single failure does not indicate your capabilities. Many successful CFA charterholders have encountered setbacks in their journey. What distinguishes them is their determination to persevere and learn from their mistakes. Now armed with insights about what went wrong during your previous attempt, you find yourself in a stronger position than before.

Managing Time Effectively

An essential factor in successfully retaking the CFA Level 1 exam is effective time management, both during your preparation and on the exam day itself. One common reason candidates fail is running out of time during the exam. Even if you know the material well, failing to complete all questions can hinder your chances of passing.

When practicing with mock exams and practice questions, simulate the actual timing of the exam. Develop a strategy to balance your time across different sections and avoid getting stuck on particularly challenging questions. Remember that each question carries equal weight, so don’t squander precious time on one item when you could be securing points elsewhere.

Prioritizing Key Topics

While it’s crucial to have a broad understanding of the CFA Level 1 curriculum, prioritizing key topics based on your performance in previous attempts can yield significant results. For example, if you found yourself struggling with Financial Reporting and Analysis (FRA) or Ethics, allocate additional study time to these areas. The CFA Institute provides a breakdown of topic weights, which can help you focus your efforts where they will matter most.

Leveraging Study Groups and Resources

Engaging with study groups can be immensely beneficial. By collaborating with peers, you can gain different perspectives on challenging topics and share effective study techniques. In addition, discussing concepts with others reinforces your understanding and retention.

Don’t hesitate to utilize additional resources such as forums, online study platforms, or CFA prep courses.

What to Communicate to Others

When you encounter setbacks, how you communicate your situation to others can significantly impact your mindset. It’s essential to convey your journey confidently, focusing on your commitment to improving rather than dwelling on past failures. When speaking to colleagues or friends about your experience, consider phrases like, “I’ve learned valuable lessons from my last attempt and have a solid plan to ensure success this time.” This not only reinforces your determination but also cultivates a supportive network around you.

Staying Motivated and Focused

Staying motivated throughout your study process is vital. Set specific, achievable goals for each study session, and reward yourself for accomplishing them. This could be as simple as enjoying a favorite snack after completing a set of practice questions or taking a break to engage in a hobby.

Additionally, visualize your success. Picture yourself passing the exam, achieving your CFA designation, and advancing your career. This positive imagery can help sustain your motivation and keep your end goal in sight.

Conclusion

In conclusion, failing the CFA Level 1 exam can be a disheartening experience, but it’s crucial to remember that many candidates have faced similar challenges. The key lies in how you respond to that setback. By analyzing your results, adjusting your study strategies, and utilizing resources like AnalystPrep’s mock exams, practice questions, study notes, and video lessons, you can transform this hurdle into a stepping stone toward success.

As you embark on your journey to retake the CFA exam, remember that preparation, strategy, and confidence are your allies. Embrace the lessons learned from your previous attempt and keep pushing forward. Your CFA charter is within reach, and with the right mindset and resources, you will overcome this obstacle and achieve your goal.

Frequently Asked Questions (FAQ)

What happens if I fail the CFA exam?
If you fail the CFA exam, the first step is to acknowledge your feelings of disappointment or frustration. However, it’s crucial to remember that failing an exam is a common experience for many candidates. When you receive your results, you’ll find a score report that highlights your performance in different areas, indicating where you excelled and where improvement is needed. This feedback is invaluable, as it provides insights into your strengths and weaknesses. Once you’ve processed the results, you can start preparing for your next attempt by creating a focused study plan that addresses the areas you struggled with.

How do you tell people you failed a CFA exam?
Disclosing that you failed a CFA exam can be challenging, especially if you feel pressure from peers or family. However, approaching the conversation with honesty and a constructive mindset can be empowering. You might say, “I recently received my CFA Level 1 results, and while I didn’t pass this time, I’m committed to learning from the experience and improving my study strategies for the next attempt.” This approach not only conveys your determination but also invites support and understanding from those around you.

Can I retake the CFA exam with confidence?
Absolutely! Many candidates who initially fail the CFA exam go on to pass with flying colors in their subsequent attempts. Confidence comes from preparation, so after understanding where you went wrong, you can build a study plan tailored to your specific needs. Engage with comprehensive study materials, consider joining a study group, and practice with mock exams to build your skills. With the right mindset and preparation, you can approach your next exam date feeling well-equipped to succeed.

Are CFA exams hard to pass?
Yes, CFA exams are known for their rigorous content and challenging pass rates, particularly for the Level 1 exam, which often sees historically low success rates. The curriculum covers a wide range of topics, including ethics, quantitative methods, financial reporting, and analysis, all of which require a deep understanding and application of financial concepts. This difficulty level can be daunting, but recognizing that many candidates struggle can help you realize that persistence and dedication are key components of success in this program.

Why is CFA so difficult?
The difficulty of the CFA program stems from several factors. Firstly, the breadth of material covered in the curriculum is extensive, requiring candidates to not only memorize concepts but also apply them critically in various scenarios. Secondly, the exams are structured to assess understanding and analytical skills rather than rote memorization, which can be challenging for many. Furthermore, the commitment required—often necessitating hundreds of hours of study—can be overwhelming, particularly for those balancing work and personal obligations. This combination of factors contributes to the overall challenge of passing the CFA exams.

Should you give up on the CFA Program?
Giving up on the CFA Program is a personal decision that should be considered carefully. If you’re feeling disheartened after failing the CFA exam, take some time to reflect on your goals and motivations for pursuing the CFA designation. Many candidates experience setbacks along the way; however, these challenges can be transformative. Instead of giving up, think about how you can adapt your study strategies or seek additional support. Remember, perseverance is often rewarded, and with a revised approach, you can achieve your CFA goals.

I know I am going to fail the CFA Level 1 Exam – why bother writing?
Feeling like you’re destined to fail can be demotivating, but writing down your thoughts can be a powerful exercise. It allows you to clarify your feelings and can help you identify specific areas of concern. Instead of viewing this as an end point, consider it an opportunity to assess what you know and what needs improvement. Documenting your study progress, challenges, and strategies can also serve as a valuable reference for your future preparations. Ultimately, investing time in writing reinforces your commitment to the exam and can boost your confidence as you tackle it again.

How many people have a CFA?
As of recent statistics, there are over 180,000 CFA charterholders worldwide. The CFA Institute, which administers the CFA program, continuously reports an increase in candidates and charterholders, reflecting the growing recognition and demand for the CFA designation in the finance and investment industries. This number includes individuals from diverse backgrounds and regions, indicating the global nature of the CFA community. Achieving the CFA charter is a significant accomplishment, representing a high level of expertise and commitment to ethical practices in finance and investment management. The increasing number of charterholders also highlights the rigorous standards and quality of education that the CFA program provides, making it a prestigious designation within the industry.

Explore More Resources for Your CFA Journey

As you navigate the challenges of preparing for the CFA Level 1 exam, it’s essential to equip yourself with the right knowledge and strategies. Here are some valuable articles that provide insights, historical data, and updates that can support you on your path to success:

1. CFA Historical Pass Rates: Understand the trends in CFA exam pass rates over the years. This article offers a detailed analysis of historical performance, helping you set realistic expectations for your own journey.
2. 2025 CFA Level 1 Exam: Stay informed about the upcoming CFA Level 1 exam in 2025. This article outlines key dates, changes in the exam format, and what you need to prepare for.
3. November 2024 CFA Level I Exam: If you are preparing for the November 2024 exam, this article contains crucial information on exam logistics, study tips, and what to expect on test day.
4. 2025 CFA Level I Exam: Dive deeper into specifics regarding the CFA Level I exam in 2025. This piece includes insights on curriculum changes and preparation strategies tailored for that year.

By exploring these articles, you can gain a well-rounded perspective on the CFA program and enhance your exam preparation efforts.