By Andrew Jones
Andrew delivers both CFA® exam preparation courses and non exam finance training for Fitch Learning. Having passed all three levels of the exam as well as gaining a wealth of experience as an industry practitioner he understands the pressures of studying for this prestigious qualification.
Many CFA exam candidates aren’t quite sure how best to prepare for the ethics section of the test. Sometimes, this uncertainty can cause it to become more of a stumbling block than it needs to be.
But not to worry. With a few straightforward tips, it’s possible to streamline your CFA exam preparation and ensure that you’re adequately prepared for everything the ethics section has in store.
So what steps do you need to take to get ready?
1) Study the ethics section last
The ethics section builds on everything that has come before, so it will make the most sense once you’ve reviewed the other sections. Spending time here before you’ve gone over everything else simply won’t be efficient, and is likely to give you an incomplete grasp of the material.
Since this is the last section you’ll review, you can take advantage of short term memory for this section. This strategy will help you use your time as effectively as possible.
2) Know the case studies
In your CFA exam preparation materials you will have an extensive number of fictional scenarios, with in-depth ethical explorations of those situations’ implications.
Make sure that you utilize this resource to the fullest. Spend time working through case-study chapters in detail, paying careful attention to the ways ethical standards are explored and applied in each scenario.
3) Familiarize yourself with the question format – as well as the source material
In order to answer questions in the ethics section effectively, you have to know what the test is going to throw at you. That means understanding which keywords to watch out for, recognizing and anticipating common traps, and knowing when to ignore irrelevant information.
The trick here is that ethical concepts aren’t tested individually. Instead, as the CFA levels progress, more and more of these concepts will be introduced into the exam questions. This is why case studies and sample questions are so important – you have to be familiar with how these concepts are applied in a range of different contexts. Practice sample questions extensively as you study to get a feel for how the exam approaches the ethics section.
If you study with these tips in mind, and you take care to build on a solid foundation of knowledge with the other sections of the exam, you should be ready to tackle the test confidently – and to ace the ethics section. Good luck!