How to Manage Time on CFA L1: The 90-Second Rule
Calculating Your Per-Question Pace
The CFA Level I exam consists of two sessions, each 135 minutes long and containing 90 multiple-choice questions. Mathematically, this provides a CFA Level 1 time per question of exactly 90 seconds. However, calculating your pace based on this raw average is a mistake. To build a safety net, you must aim for an "active pace" of roughly 75 to 80 seconds per question. This allows for a 15-minute buffer at the end of the session to review flagged items or manage unforeseen complications. In the computer-based testing (CBT) environment, the countdown timer is your primary tool. You should reach question 30 with 90 minutes remaining and question 60 with 45 minutes remaining. If you are behind these benchmarks, you are effectively borrowing time from the more complex vignettes or calculations that inevitably appear later in the section.
The Danger of 'Perfect' Answers
One of the most common pitfalls for high-achieving candidates is the desire for absolute certainty on every question. In the context of the CFA program, this is a dangerous instinct. The Standard Setting process and the use of Modified Angoff programming mean that you do not need a perfect score to pass; you only need to exceed the Minimum Passing Score (MPS). Spending four minutes to ensure a complex Cross-Price Elasticity calculation is perfect costs you the opportunity to answer three easier Ethics or Corporate Issuers questions. If you find yourself re-calculating a result for the third time just to see if the decimals align, you are mismanaging your most precious resource. Accept that some questions are designed to be time-sinks; identify them, make an educated guess, and move on to protect your overall score.
When to Move On: The 2-Minute Limit
To maintain a consistent CFA exam pacing strategy, you must implement a hard stop. If you have not reached a definitive answer within 120 seconds, you must stop working on that question. At this two-minute mark, the law of diminishing returns takes over. The cognitive load required to continue wrestling with a specific Internal Rate of Return (IRR) or Weighted Average Cost of Capital (WACC) calculation often leads to fatigue that compromises your performance on the subsequent five questions. Use the CBT software to select your best guess—since there is no penalty for incorrect answers—and flag the question for the second pass. This discipline ensures that a single difficult item does not trigger a cascade of rushed decisions at the end of the session.
The Two-Pass Exam Technique for Maximum Efficiency
First Pass: Securing Guaranteed Points
The objective of the first pass is to harvest all "low-hanging fruit" across the 90 questions. During this phase, you should only spend time on questions where the solution path is immediately clear. For instance, definitional questions in Ethics and Professional Standards or quick conceptual checks in Portfolio Management should be handled instantly. By moving rapidly through these, you build a "time bank." A successful first pass usually results in 50-60 completed questions within the first hour. This aggressive CFA session time allocation reduces anxiety and guarantees that you have seen every question in the booklet, preventing the nightmare scenario of leaving easy points unaddressed because they were located at the very end of the exam.
The Art of Effective Question Marking
Not all skipped questions are equal. To maximize your efficiency, use a mental or digital shorthand for the questions you flag. Distinguish between "Calculated but Unsure" and "Total Unknown." If you have narrowed a question down to two choices using the Process of Elimination, note that specifically. This prevents you from having to re-read the entire prompt and all distractors during your second pass. In the CFA CBT interface, the "Flag" feature is your primary tracking mechanism. Effective marking ensures that when you return to these items, you are not starting from scratch but rather picking up from a point of partial progress. This technical precision is vital for beating the CFA clock when the final 20-minute warning appears.
Second Pass: Tackling the Marked Challenges
Once you have completed the first pass, you enter the second pass with a clear understanding of how much time remains. This is where you tackle the "time-intensive" questions, such as complex Financial Statement Analysis (FSA) reconciliations or multi-step Quantitative Methods problems involving the Standard Error of the Estimate. Because you have already secured the easier points, you can devote your full cognitive resources to these challenges without the nagging fear of unfinished business elsewhere. During the second pass, your goal is to systematically reduce the number of flagged items. Even if a question remains elusive, the second pass is the time to commit to an answer based on your strongest intuition, ensuring that no box is left unchecked before the session timer expires.
Building a Study Schedule That Beats Forgetting
The 300-Hour Myth: Quality Over Quantity
While the 300-hour benchmark is a common industry standard, it is often a misleading metric for success. Simply logging hours does not guarantee mastery of the Candidate Body of Knowledge (CBOK). A truly effective CFA Level 1 study schedule template focuses on active recall rather than passive reading. Candidates who spend 200 hours on high-intensity practice often outperform those who spend 400 hours highlighting textbooks. Your schedule should be weighted toward "doing" rather than "observing." This means prioritizing End-of-Reading (EOC) questions and Blue Box examples within the curriculum. Time management during prep involves recognizing when you have reached a plateau in a specific topic and pivoting to a different area to maintain high levels of engagement and retention.
Integrating Spaced Repetition Systems
To combat the "forgetting curve," your study time must incorporate Spaced Repetition. This involves revisiting core concepts at increasing intervals—one day, one week, and one month after initial exposure. For CFA Level I, this is critical for memorizing the vast array of formulas, from the Capital Asset Pricing Model (CAPM) to the various Lease Accounting ratios. Instead of studying Fixed Income for two weeks and then moving on entirely, allocate 30 minutes every few days to review previous topics. This prevents the "knowledge decay" that often forces candidates to spend their final weeks re-learning material they already covered, which is a catastrophic waste of time in the final countdown to exam day.
Block Scheduling vs. Time Chunking
Efficiency in preparation is often determined by how you structure your daily sessions. Block Scheduling involves dedicating 3-4 hour windows to deep work on complex topics like Derivative Investments. This is ideal for initial concept building. Conversely, Time Chunking involves 25-50 minute bursts of high-intensity practice, which is more effective for drilling QBank questions or Ethics cases. For a working professional, managing time means using "found time"—commutes or lunch breaks—for chunking, while reserving weekend mornings for deep blocks. This hybrid approach ensures that you are constantly engaging with the material without burning out, keeping your momentum steady over the typical 4-6 month preparation window.
Allocating Study Hours by Topic Weight and Difficulty
Prioritizing Financial Statement Analysis & Ethics
In the CFA Level I hierarchy, Financial Statement Analysis (FSA) and Ethics are the heavyweights, often accounting for a significant portion of the total score. Your study time must reflect this. FSA requires deep mechanical understanding of how transactions flow through the three primary financial statements and the differences between IFRS and US GAAP. Ethics, while conceptual, requires repetitive exposure to the Standards of Professional Conduct to recognize the subtle nuances in the vignettes. You should allocate approximately 20-25% of your total study time to these two areas alone. Mastering these not only boosts your score but also provides a "buffer" for more volatile topics, as high performance in Ethics can be a deciding factor in "borderline" pass/fail results.
Managing Time for Quantitative Methods & Economics
Quantitative Methods serves as the foundation for the entire curriculum, introducing concepts like the Time Value of Money (TVM) and probability distributions that reappear in almost every other topic. Early investment here saves time later. Economics, however, can be a "time sink" due to its breadth. To manage time effectively in Economics, focus on the core principles of Macroeconomic Aggregate Demand/Supply and Market Structures rather than getting bogged down in every minor theoretical model. Use a "breadth over depth" strategy for Economics to ensure you understand the primary drivers of exchange rates and monetary policy without sacrificing time needed for the more heavily weighted asset valuation sections.
Efficient Approaches to Corporate Issuers & Portfolio Management
These topics often have a higher "points-per-page" ratio than FSA or Economics. Corporate Issuers focuses on practical concepts like Cost of Capital and liquidity management, which are relatively straightforward once the formulas are memorized. Portfolio Management introduces the Markowitz Efficient Frontier and the Security Market Line (SML), which are highly visual and conceptual. Because these topics are more streamlined, you can afford to move through them faster. Use these sections to regain time in your study schedule if you fall behind in more complex areas. Focus on the core calculations and the relationship between risk and return, as these are the most frequently tested elements in these modules.
Mock Exam Strategy: Simulating the Real Time Pressure
Scheduling Your Mock Exams for Optimal Feedback
You should begin taking full-length mock exams approximately four to six weeks before your test date. Taking a mock too early can be discouraging, while taking one too late leaves no time for correction. The purpose of the mock is not just to test knowledge, but to refine your CFA exam pacing strategy. Schedule your mocks at the same time of day as your actual appointment to synchronize your circadian rhythm with the exam's demands. Treat these as "dress rehearsals," utilizing the same calculator (typically the TI BA II Plus or HP 12C) and the same scratch paper constraints you will face at the Prometric or British Council testing center.
Reviewing Mocks: Analyzing Time Sinks
The most important part of a mock exam is the post-game analysis. Instead of just looking at your percentage score, categorize every question you missed or spent too much time on. Did you miss a Deferred Tax Asset question because of a conceptual gap, or because you spent three minutes on the calculation and panicked? Use a "Time-to-Correctness" matrix: identify questions you got right but took too long on, as these are your biggest risks on exam day. If you find that Fixed Income Valuation consistently takes you over two minutes per question, you need to drill that specific area until the process becomes algorithmic and fast.
If your mock data shows you are consistently finishing with only minutes to spare, you must adjust your "threshold for skipping." This might mean deciding to guess and move on from any Hypothesis Testing question after 60 seconds rather than 90. Conversely, if you are finishing with 40 minutes left but scoring poorly, your time management issue is "rushing." In this case, use the extra time to perform "sanity checks" on your results—for example, ensuring that a calculated bond price makes sense given the relationship between Coupon Rate and Yield to Maturity (YTM). Data-driven adjustments turn the mock exam process into a precision tuning tool for the actual event.
Test-Day Timeline: From Check-In to Final Review
The 30-Minute Buffer: Accounting for Check-In
On exam day, the clock starts before you sit at the computer. Prometric check-in procedures—including fingerprinting, pocket checks, and calculator inspections—can take significantly longer than expected. Arriving at least 30 to 45 minutes early is not just about avoiding disqualification; it is about managing your cortisol levels. If you are rushed during check-in, you enter the first session in a state of "high-beta" brain activity, which impairs the analytical reasoning required for Equity Investments and Alternative Investments. A calm, buffered arrival ensures you start the first 90-minute block with a focused, steady heart rate and a clear mind.
Managing the Mid-Exam Break
The optional 30-minute break between Session 1 and Session 2 is a critical component of your CFA session time allocation. While it is tempting to use this time to look up answers from the first session, this is a strategic error. The first session is "sunk cost." Use the break for physical and mental recovery: consume slow-release carbohydrates, hydrate, and move your body to improve circulation. Most importantly, do not discuss the exam with other candidates. Your goal is to reset your "mental clock" so that you enter Session 2 with the same intensity and pacing discipline you had at the start of the day.
The Final 15 Minutes: Last-Minute Tactics
As the timer on the screen turns red in the final 15 minutes, your strategy must shift from "solving" to "completing." Ensure that every single question has an answer selected. In the CFA exam, there is no "guessing penalty," so a blank answer is a guaranteed zero, while a guess has a 33% chance of being correct. If you have five questions left and three minutes on the clock, do not try to solve them. Read the stems quickly, eliminate the most obvious outlier, and pick an answer. Use the final 60 seconds to double-check that your "Flagged" list is empty. This final cleanup is the difference between a narrow fail and a solid pass.
Recovering From Bad Time Management in Real-Time
Diagnosing a Time Deficit Early
A time deficit rarely happens all at once; it builds incrementally. You can diagnose a deficit early by checking your progress at the 30-minute mark. You should be through at least 20 questions. If you have only completed 12, you are in a "time hole." Recognizing this early allows you to make minor adjustments—such as skipping the next two "long" calculation questions—rather than having to panic in the final hour. This early diagnosis relies on the 90-second rule as a constant benchmark. If you are behind, do not try to "work faster," which leads to silly errors; instead, "skip smarter" to regain your rhythm.
The Triage Method for Answering
If you find yourself with 20 questions left and only 15 minutes remaining, you must apply "Exam Triage." Quickly scan the remaining questions for short, conceptual stems—these are usually found in Ethics or Portfolio Management. Answer these first. Ignore any questions with long vignettes or complex data tables. By "triaging" the remaining items, you maximize the number of questions you actually read and process, rather than getting stuck on one difficult problem while three easy ones sit untouched at the end of the exam. This survival tactic is essential for beating the CFA clock when things go wrong.
Mental Reset Between Exam Sessions
If Session 1 was a "time management disaster," it is vital to perform a mental reset before Session 2. The topics in the second session (typically Corporate Issuers, Equity, Fixed Income, Derivatives, Alternatives, and Portfolio Management) are independent of the first. A poor performance in the morning does not preclude a strong performance in the afternoon. Use the break to remind yourself of your CFA exam pacing strategy. Visualize the 90-second rhythm. By compartmentalizing the two sessions, you prevent a "time-management hangover" from ruining your entire exam day, allowing you to salvage your score through disciplined execution in the final 135 minutes.