Negative Impact on Candidate after failing L1 TWICE

People will sometimes ask if you passed the exam on the first try. A few places will screen out anyone who didn’t pass all of them on the first try, but quite honestly, those are likely not the best places, because there are tons of reasons why people may fail an exam that have nothing to do with how good an analyst they are likely to be. It would be even more ironic if a value shop were this way, since value shops supposedly specialize in finding investmetns that are good despite the most obvious blemishes.
[this is a recurring theme of mine, which is how ridiculous it is for some investment places to claim that “security markets aren’t efficient; that is why we deserve to be paid so much to outperform,” and yet conclude that “your past compensation tells us what we need to know about you, because labor markets are efficient.” Markets may or may not be efficient - that’s up for debate - but if securities markets are inefficient, there is pretty much no way on God’s green earth that labor markets are efficient.]
More often, the question about passing the first time is more of a conversation point than a “check the box” feature. Lots of people fail L1 the first time because they underestimated the work required to pass the exam. And there is a certain amount of respect for people who dust themselves off and then give it the effort that is required, because it shows dedication and adaptability. So you spin it that way.
With L1, however, if you don’t know WHY you didn’t pass (not enough work, a particular section that you bombed, etc.), then that is not so good. The exam is tough because of the quantity of the material and keeping yourself alert for 6 hours, but the material itself isn’t super hard (bits and pieces are). For me, the accounting stuff was the trickiest, because there were all these random-sounding rules (to the untrained eye) that had to be applied in 90 seconds or less.
 
sokenyou wrote: if I still want to change careers or do something to improve from where I am, will an MBA sound more promising and more on the right track?
What do you do now? Why do you want to have a career in finance?
 
From my personal experience, less than 10% of employers ask you how many times you have attemtped the CFA exams - is it important? i’d say it’s more important to you than the employers.
I would give it a serious thought as to how much time you CAN commit to the CFA exam. I mean, you can’t just register and “wish” you have time to study and just “wing it” in June. it doesn’t work!
You have to be honest with yourself, how much you NEED this? If it’s not something you need, just move on! you have wasted some time and money, but you will lose MORE if you continue on a path you are not committed to.
EVERYONE has personal problems and obstacles and work obligations and everything else during the 3-4 years of studying…. You aren’t alone. Only the ones who can keep on top of things will pass and make it at the end.
BEST OF LUCK
NANA
 
I don’t know what all the drama is about.
Sign up, overstudy for 3 exams, apply for the Charter.
It ain’t rocket science.
 
My advice would be to stay in your own industry or at least in your own field. It sounds to me like you’re just money hungry since all you mention is VC, PE, and ER…fields you have probably heard are lucrative and you feel it would be the easiest of transitions among others. Short of a close relative literally just giving you a job in this field, you have no shot…as mentioned there are Ivy league MBA’s with previous IB experience competing and getting rejected for these jobs. You said you’re an engineer? Use that background and move into something within engineering…brush up on your programming skills, work for a tech start up…don’t just try to break into finance because you think it will be easier…it won’t be, because everyone who is trying to break in is thinking like you (IT people and such) with the excuse that “I’m passionate about finance”…I’m glad you didn’t say that but you also haven’t mentioned “why finance?” Anyway, unless you can get over the fact that there is zero guarantee with CFA, commit the hours, and open yourself to more than just the highest paying finance jobs (VC, PE…which you will likely not get) then just don’t do CFA, you will be wasting your time.
 
NANA Hachiko wrote:
From my personal experience, less than 10% of employers ask you how many times you have attemtped the CFA exams - is it important? i’d say it’s more important to you than the employers.
I would give it a serious thought as to how much time you CAN commit to the CFA exam. I mean, you can’t just register and “wish” you have time to study and just “wing it” in June. it doesn’t work!
You have to be honest with yourself, how much you NEED this? If it’s not something you need, just move on! you have wasted some time and money, but you will lose MORE if you continue on a path you are not committed to.
EVERYONE has personal problems and obstacles and work obligations and everything else during the 3-4 years of studying…. You aren’t alone. Only the ones who can keep on top of things will pass and make it at the end.
BEST OF LUCK
NANA
I’ve been on tons of interviews, probably 60+ in the last 7 years. No one has ever asked if I had passed the CFA exams on the first try.
 
itera wrote:
I’ve been on tons of interviews, probably 60+ in the last 7 years. No one has ever asked if I had passed the CFA exams on the first try.
She’s in Japan, the kind of typical asian country where credentials are highly sought (sorry for stereotypes if this bothers anyone!). If they ask about passing the CFA exams on the first try only 10% of the time over there, that should translate to a very low relevance in a western country. Sounds about right for both of you.
By the way, OP, Canada has one of the highest concentration of CFA candidates and charterholders after the USA, so bear that in mind.
 
I’ve heard a few times that Toronto has the most charterholders per capita. It’s so freakin’ cold 6 months a year that Canadians have nothing better to do than study.
 
Thanks Itera, but I was told passing all levels of the CFA will stand a chance or do an MBA from a prestige school. I agree I am not prepared again, one reason of that is the lack of commitment…and repeatedly, it is due to the chances of getting jobs in ER, M&A, VC, PE….. it is like a faith you have for a religion….sorry I could not think of a better example.
 
Hi Itera, do you think according to your knowledge, an MBA from a good school would be the more appropriate way to achieve the career change or enhancement?
Thanks
 
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