200+ Free CFA Level I Practice Questions

Pass your CFA Level I Chartered Financial Analyst exam on the first try — instant access, no signup required.

✓ No registration✓ No credit card✓ No hidden fees✓ Start practicing immediately

43-45% Pass Rate

200+ Questions

100% Free

1 / 200

Question 1

Score: 0/0

According to the CFA Institute Code of Ethics, which of the following is a required element?

Place the integrity of the investment profession and the interests of clients above personal interests

Maximize investment returns for all clients regardless of risk tolerance

Disclose all personal trading activity to the general public

Guarantee investment performance to clients

to track

2026 Statistics

Key Facts: CFA Level I Exam

43-45%

Historical Pass Rate

CFA Institute

180 Qs

Exam Questions

Two 90-question sessions

300+ hrs

Recommended Study

CFA Institute

200K+

CFA Charterholders

Worldwide

$1,140-1,590

Exam Fee Range

Early/standard registration

4×/year

Exam Windows

Feb, May, Aug, Nov

The CFA Level I exam has a 43-45% pass rate, making it one of the most challenging financial certifications. It features 180 multiple-choice questions across two 2-hour 15-minute sessions with an optional break. The exam is offered four times per year (February, May, August, November). There are approximately 200,000+ CFA charterholders worldwide. Level I is the foundation level focusing on investment tools and ethical standards.

Sample CFA Level I Practice Questions

Try these sample questions to test your CFA Level I exam readiness. Each question includes a detailed explanation. Start the interactive quiz above for the full 200+ question experience with AI tutoring.

1According to the CFA Institute Code of Ethics, which of the following is a required element?

A.Place the integrity of the investment profession and the interests of clients above personal interests

B.Maximize investment returns for all clients regardless of risk tolerance

C.Disclose all personal trading activity to the general public

D.Guarantee investment performance to clients

Explanation: The CFA Institute Code of Ethics requires members and candidates to place the integrity of the investment profession and the interests of clients above their own personal interests. This is one of the six components of the Code of Ethics. Options B, C, and D are not requirements and in some cases would violate standards.

2Under Standard I(A) Knowledge of the Law, members and candidates are required to:

A.Understand and comply with all applicable laws, rules, and regulations

B.Only comply with CFA Institute Standards of Professional Conduct

C.Rely solely on their employer to ensure compliance

D.Comply only with the laws of their home country

Explanation: Standard I(A) requires members and candidates to understand and comply with all applicable laws, rules, and regulations of any government, regulatory organization, licensing agency, or professional association governing their professional activities. When in doubt, they should consult with appropriate personnel or legal counsel.

3A portfolio manager receives a gift from a client after successfully managing their portfolio. Under Standard I(B) Independence and Objectivity, the manager:

A.Must decline all gifts from clients to maintain objectivity

B.May accept gifts if they disclose them to their employer and the gifts do not compromise independence

C.Can accept any gift as long as it is not cash

D.Must donate all gifts to charity

Explanation: Standard I(B) allows members and candidates to accept gifts, benefits, compensation, or consideration that competes with or might reasonably be expected to create a conflict of interest with their employer's interest, provided they obtain written consent from all parties involved. Disclosure to the employer is essential.

4Under Standard III(A) Loyalty, Prudence, and Care, a member managing a pension plan owes their duty of loyalty to:

A.The plan sponsor

B.The plan participants and beneficiaries

C.The investment management firm

D.The government regulatory agency

Explanation: Under Standard III(A), members and candidates must act for the benefit of their clients and place their clients' interests before their employer's or their own interests. For pension plans, the duty of loyalty is owed to the plan participants and beneficiaries, not the plan sponsor.

5According to Standard III(B) Fair Dealing, members and candidates must:

A.Provide identical investment recommendations to all clients

B.Deal fairly and objectively with all clients when providing investment recommendations or taking investment action

C.Give priority to their largest clients

D.Only recommend investments to institutional clients

Explanation: Standard III(B) requires members and candidates to deal fairly and objectively with all clients when providing investment recommendations, taking investment action, or engaging in other professional activities. Fair dealing does not require identical recommendations for all clients, as different clients have different needs and circumstances.

6Under Standard IV(A) Loyalty, members and candidates must not:

A.Accept gifts from clients

B.Divulge confidential information about their employer

C.Work for multiple employers simultaneously

D.Travel for business purposes

Explanation: Standard IV(A) Loyalty requires members and candidates to act for the benefit of their employer and not deprive their employer of the advantage of their skills and abilities. This includes not divulging confidential information about the employer or engaging in any conduct that would injure the firm.

7A research analyst includes a recommendation in a report without having a reasonable and adequate basis. This most likely violates:

A.Standard I(A) Knowledge of the Law

B.Standard V(A) Diligence and Reasonable Basis

C.Standard III(C) Suitability

D.Standard II(A) Material Nonpublic Information

Explanation: Standard V(A) Diligence and Reasonable Basis requires members and candidates to exercise diligence, independence, and thoroughness in analyzing investments, making investment recommendations, and taking investment actions. They must have a reasonable and adequate basis, supported by appropriate research and investigation, for any investment analysis.

8Under Standard VI(A) Disclosure of Conflicts, members and candidates must disclose all matters that reasonably could be expected to:

A.Impair their independence and objectivity or interfere with respective duties to their clients

B.Increase their personal wealth

C.Benefit their employer

D.Attract new clients

Explanation: Standard VI(A) requires members and candidates to make full and fair disclosure of all matters that could reasonably be expected to impair their independence and objectivity or interfere with respective duties to their clients, prospective clients, and employer. Full disclosure allows clients to evaluate potential conflicts.

9The GIPS standards require firms to:

A.Report performance gross of fees only

B.Comply with all requirements and recommendations to claim compliance

C.Claim compliance only on a firm-wide basis

D.Report performance for single accounts only

Explanation: GIPS standards require firms to claim compliance on a firm-wide basis only. Firms cannot claim compliance for a single composite or product. The standards require compliance with all requirements (not just recommendations) to claim compliance, and firms must present performance both gross and net of fees for certain presentations.

10If $10,000 is invested today at an annual interest rate of 6% compounded quarterly, what will be the value of the investment in 5 years?

A.$13,000.00

B.$13,468.55

C.$13,382.26

D.$14,000.00

Explanation: Using the compound interest formula: FV = PV × (1 + r/m)^(m×n), where PV = $10,000, r = 0.06, m = 4 (quarterly), n = 5. FV = $10,000 × (1 + 0.06/4)^(4×5) = $10,000 × (1.015)^20 = $10,000 × 1.346855 = $13,468.55.

About the CFA Level I Exam

The CFA Level I exam is the first of three levels required to earn the Chartered Financial Analyst designation. It tests knowledge of ethical and professional standards, quantitative methods, economics, financial reporting, corporate finance, equity investments, fixed income, derivatives, alternative investments, and portfolio management. The exam format consists entirely of multiple-choice questions.

Questions

180 scored questions

Time Limit

4h 30m (2 sessions × 2h 15m)

Passing Score

~70% (scaled)

Exam Fee

$1,140-$1,590 (CFA Institute)

CFA Level I Exam Content Outline

15-20%

Ethical and Professional Standards

CFA Institute Code of Ethics, Standards of Professional Conduct, GIPS

6-9%

Quantitative Methods

Time value of money, statistics, probability, hypothesis testing, regression

6-9%

Economics

Supply/demand, market structures, macroeconomic principles, international trade

11-14%

Financial Statement Analysis

Income statement, balance sheet, cash flows, ratio analysis, inventories, long-lived assets

6-9%

Corporate Issuers

Capital budgeting, capital structure, cost of capital, working capital management

11-14%

Equity Investments

Market structure, equity valuation, industry analysis, DDM, multiples

11-14%

Fixed Income

Bond features, yield measures, duration, convexity, credit analysis, structured products

5-8%

Derivatives

Forwards, futures, options, swaps, pricing and valuation basics

7-10%

Alternative Investments

Real estate, private equity, hedge funds, commodities, infrastructure

8-12%

Portfolio Management

Risk and return, portfolio theory, asset allocation, behavioral finance

How to Pass the CFA Level I Exam

What You Need to Know

Passing score: ~70% (scaled)
Exam length: 180 questions
Time limit: 4h 30m (2 sessions × 2h 15m)
Exam fee: $1,140-$1,590

Keys to Passing

Complete 500+ practice questions
Score 80%+ consistently before scheduling
Focus on highest-weighted sections
Use our AI tutor for tough concepts

CFA Level I Study Tips from Top Performers

1Master Ethics first — it's the largest section (15-20%) and carries weight at all three levels

2Focus on Financial Statement Analysis — learn to calculate and interpret all major ratios

3Practice time value of money calculations until they are second nature

4Understand the relationship between bond prices and yields — this is fundamental for fixed income

5Know the difference between forwards, futures, options, and swaps cold

6Take at least 4-6 full-length mock exams under timed conditions before the actual exam

Frequently Asked Questions

What is the CFA Level I pass rate?

The CFA Level I pass rate historically averages 43-45%. The exam is intentionally challenging to maintain the prestige of the CFA designation. Pass rates can fluctuate based on exam difficulty and candidate preparation. The pass rate for February 2025 was 45%, reflecting rigorous candidate preparation.

How many questions are on the CFA Level I exam?

The CFA Level I exam has 180 multiple-choice questions split into two sessions of 90 questions each. Each session is 2 hours and 15 minutes long with an optional break between sessions. All questions are independent (no case studies), with three answer choices each.

How hard is the CFA Level I exam?

CFA Level I is considered very challenging with its 43-45% pass rate. The volume of material across 10 topic areas is substantial, requiring 300+ hours of study. Ethics questions can be particularly tricky as they test application of principles rather than memorization. The time pressure (90 seconds per question) adds to the difficulty.

What are the CFA Level I requirements?

To register for CFA Level I, you need: (1) a bachelor's degree (or be in the final year), or (2) 4,000 hours of professional work experience, or (3) a combination of education and work experience totaling 4,000 hours. There are no prerequisite courses, but economics, accounting, and finance backgrounds help.

How long should I study for CFA Level I?

CFA Institute recommends 300+ hours of study. Most successful candidates study 3-6 months, completing the curriculum and 2,000+ practice questions. Focus heavily on Ethics (15-20%) and Financial Statement Analysis (11-14%) as these are the largest sections. Take multiple mock exams under timed conditions.

What topics are most heavily tested on CFA Level I?

Ethical and Professional Standards (15-20%) is the largest section, followed by Financial Statement Analysis (11-14%), Equity Investments (11-14%), and Fixed Income (11-14%). These four topics comprise nearly 50% of the exam. Corporate Issuers and Quantitative Methods are typically the smallest sections (6-9% each).