Nelson Lacey, Chair
Examination Committee
Chartered Alternative Investment Analyst Association®
We frequently hear from candidates (and non-candidates alike) who ask us about the grading of CAIA exams and about exam performance. We have provided the information below to help answer these questions.
Why can't we get immediate exam feedback?
What score do I need to pass the exam?
Do I need to pass each of the exam's subsections?
What percentage of candidates pass the exams?
Do you ever throw questions out?
I am disappointed with my exam results. Can I request the exam to be rescored?
What kinds of feedback does the Association provide to the candidate?
Are candidate scores released?
Given that overall scores are not released, how can candidates learn about their performance on an exam?
Why can't we get immediate exam feedback?
We benchmark candidate scores against all test-takers, so grading
cannot begin until the examination window is closed. Our turnaround
time for Level I is usually within two weeks of the last examination
day. Level II, which includes essays, takes more time. Level II results
are generally available between four and five weeks from the last
examination day. top
What score do I need to pass the exam?
Setting the minimum passing score is one of the hardest decisions to
make. We are well aware of the fine line that exists between being fair
to those who invest time in preparing for these exams on the one hand,
and ensuring the program's integrity on the other. The exam committee
uses 70% of the total points as the initial benchmark so that
candidates who earn 70% or more of the total points pass the exam.
Because we compare a candidate's score against the average exam score,
there is the potential for a curve. The curve effectively moves the
passing score below 70%. top
Do I need to pass each of the exam's subsections?
Level I has three subsections (Quantitative Methods,
Professional Standards, and Foundations of Alternative Investments),
while Level II is composed of five subsections (Professional Standards,
Hedge Funds and Managed Futures, Venture Capital and Private Equity,
Real Estate, and Current and Integrated Topics). At this time we do not establish
separate passing scores for each subsection. That is, it is possible to
score low in one subsection and still pass the exam. top
What percentage of candidates pass the exams?
The Association has not established a target rate of success. The percentage of
candidates that pass the exams is fluid and changes from exam to exam. During the most recent exam period, of those who sat for the Level I exam, 72% were successful in passing; for Level II, 69%. top
Do you ever throw questions out?
Yes. The examination committee reviews all questions before and after
each exam and looks for irregularities. There have been cases when the
committee, after finding what was believed to be sufficient ambiguity,
removed a particular question from the scoring of the exam. top
I am disappointed with my exam results. Can I request the exam to be rescored?
Yes. Candidates with questions about the scoring of their exams can request a rescore after receiving their detailed results. This means that the points earned in each part of the exam will be manually checked and matched against the original score. It does not mean that the questions will be graded again. The fee for the rescoring option is $100. Requests for a rescore must be submitted to candidate@caia.org within 30 days of receiving your detailed exam results. Please note that all exam materials are the property of the CAIA Association. top
What kinds of feedback does the Association provide to the candidate?
Candidates should know that their exam performance is strictly
confidential. Shortly after the end of the exam period, an announcement is made to candidates, inviting each to log in to the website to receive general pass/fail exam results. Within a week following the online notification, an email with further details (i.e. percentages) is sent to each individual who sat for an exam. This exam report outlines performance in each of the exam subsections. Candidates will learn whether they've achieved greater than 70% of the points in any particular subsection, between 70% and 50% of the points, or less than 50% of the points. top
Are candidate scores released?
No. While we make a distinction between passing and failing scores, the CAIA
Association does not attach meaning to the relative ranking of candidate
scores. In other words, there is no such thing as a high pass, a low pass, or a
high failure. Releasing individual candidate scores would predictably lead to such a ranking. top
Given that candidate scores are not released, how can candidates learn about their performance on an exam?
The CAIA Association provides candidates with performance breakdowns across the
different sections of the exam. In this way, candidates will be able to
determine their areas of both strong and weak performance. top