Updates to Quantitative Methods at Level I and Launch of Equation Explorers.
The Quantitative Methods topic in the 2027 Level I curriculum is now organized around
real-world applications, with more Q&A, knowledge checks, and targeted examples
throughout. Coverage of estimation and simulation has been expanded with step-by-step
implementation guidance for historical simulation, bootstrapping, and Monte Carlo methods
using Excel and Google Sheets functions. Portfolio optimization readings have also been
expanded and aligned with the Level I/II Python Fundamentals Practical Skills Module,
giving candidates a solid foundation they can directly apply in Python-based optimization.
A new reading introduces financial data science, AI, and large language models, equipping
candidates with the vocabulary and conceptual grounding to engage with these rapidly
evolving topics.
CFA Institute is also introducing Equation Explorers. These are interactive lessons available
exclusively in the Level I online learning ecosystem. Designed to help candidates move from
memorizing formulas to understanding relationships between variables, Equation Explorers
let candidates adjust key values and observe effects on dynamic tables and graphs, with
guided exploration questions highlighting crucial concepts. They accompany the Time Value
of Money lessons in Quantitative Methods.
These fundamental revisions have made the Quantitative Methods prerequisite reading
redundant, so it is being retired for 2027 and forwards.
Updates to Equities at Level I.
The Equities topic has been substantially updated to emphasize practical applications and
career-readiness. Real-world examples spanning airlines, pharmaceuticals, technology,
consumer goods, and utilities are woven throughout. The curriculum now grounds equity
valuation in financial statement forecasting, with candidates learning to build disaggregated
models that separately project revenue, margins, investment, and financing. Scenario
analysis with probability weighting is introduced as standard valuation practice.
Industry and company analysis receive expanded treatment, with Porter’s Five Forces
and PESTLE explicitly connected to valuation narratives rather than treated as standalone
frameworks. New modules cover equity analyst research reports — including initiating
coverage, sell-side versus buy-side research, and activist short sellers — as well as the
practical application of CAPM and multi-factor models for estimating cost of equity using
real market data, helping candidates understand the broader equity valuation context.
Updates to Ethics at All Levels.
The Ethics topic has been updated at all three levels to fully reflect the Standards of
Practice Handbook (v12), incorporating new guidance for each Standard. Each Standard
is now presented as its own module with targeted practice problems, making the content
easier to navigate.
The Quantitative Methods topic in the 2027 Level I curriculum is now organized around
real-world applications, with more Q&A, knowledge checks, and targeted examples
throughout. Coverage of estimation and simulation has been expanded with step-by-step
implementation guidance for historical simulation, bootstrapping, and Monte Carlo methods
using Excel and Google Sheets functions. Portfolio optimization readings have also been
expanded and aligned with the Level I/II Python Fundamentals Practical Skills Module,
giving candidates a solid foundation they can directly apply in Python-based optimization.
A new reading introduces financial data science, AI, and large language models, equipping
candidates with the vocabulary and conceptual grounding to engage with these rapidly
evolving topics.
CFA Institute is also introducing Equation Explorers. These are interactive lessons available
exclusively in the Level I online learning ecosystem. Designed to help candidates move from
memorizing formulas to understanding relationships between variables, Equation Explorers
let candidates adjust key values and observe effects on dynamic tables and graphs, with
guided exploration questions highlighting crucial concepts. They accompany the Time Value
of Money lessons in Quantitative Methods.
These fundamental revisions have made the Quantitative Methods prerequisite reading
redundant, so it is being retired for 2027 and forwards.
Updates to Equities at Level I.
The Equities topic has been substantially updated to emphasize practical applications and
career-readiness. Real-world examples spanning airlines, pharmaceuticals, technology,
consumer goods, and utilities are woven throughout. The curriculum now grounds equity
valuation in financial statement forecasting, with candidates learning to build disaggregated
models that separately project revenue, margins, investment, and financing. Scenario
analysis with probability weighting is introduced as standard valuation practice.
Industry and company analysis receive expanded treatment, with Porter’s Five Forces
and PESTLE explicitly connected to valuation narratives rather than treated as standalone
frameworks. New modules cover equity analyst research reports — including initiating
coverage, sell-side versus buy-side research, and activist short sellers — as well as the
practical application of CAPM and multi-factor models for estimating cost of equity using
real market data, helping candidates understand the broader equity valuation context.
Updates to Ethics at All Levels.
The Ethics topic has been updated at all three levels to fully reflect the Standards of
Practice Handbook (v12), incorporating new guidance for each Standard. Each Standard
is now presented as its own module with targeted practice problems, making the content
easier to navigate.