CFA Level II 2026-2027 : 1000 MCQ with Answers

CFA Level II is the second exam in the CFA Program and focuses on applying investment knowledge to realistic valuation and portfolio-management scenarios. It tests deeper security analysis than Level I, including equity, fixed income, derivatives, alternatives, portfolio management, and ethics.

CFA Level II is a computer-based exam made up of item sets, usually presented as a vignette followed by multiple-choice questions. The exam currently contains 22 item sets and 88 questions across two timed sessions, with a total testing time of approximately four hours and 24 minutes.

CFA Level II is widely considered more difficult than Level I because it requires candidates to apply formulas, interpret financial information, and make decisions from detailed scenarios. Difficulty varies by candidate and exam window, so consistent practice with calculations, item sets, and ethics questions is important.

The syllabus covers quantitative methods, economics, financial statement analysis, corporate issuers, equity investments, fixed income, derivatives, alternative investments, portfolio management, and ethics. Level II places particular emphasis on valuation, credit and interest-rate risk, portfolio construction, derivatives, and security analysis.

CFA Level II is administered by CFA Institute as part of the CFA Program, rather than being divided among school-exam boards such as AQA, Edexcel, or OCR. It is one professional certification exam level and does not have foundation, higher, or tiered papers.

Candidates normally need to have passed CFA Level I and meet the CFA Program enrollment and registration requirements. These requirements may include an appropriate degree or equivalent education, sufficient remaining undergraduate study, or qualifying professional work experience, so applicants should confirm their circumstances with CFA Institute.

CFA Level II is offered during several computer-based testing windows each year rather than on one universal date. Available windows, registration deadlines, scheduling rules, and test-center options can change, so candidates should check the current official CFA Institute calendar before registering.

CFA Institute determines a minimum passing score for each exam administration, and the threshold is not usually published in advance as a fixed grade boundary. Results are reported as pass or fail with performance information by topic area, so candidates should avoid relying on a single unofficial percentage as a guaranteed passing score.

Begin by learning the curriculum concepts and formulas, then move quickly to timed item sets that resemble the exam format. Review every incorrect answer, practise interpreting vignettes, schedule repeated ethics revision, and complete any required practical skills module before the relevant deadline.

Ethics questions apply the CFA Institute Code of Ethics and Standards of Professional Conduct to situations involving research, portfolio management, conflicts of interest, material nonpublic information, suitability, and professional responsibilities. Read each scenario carefully, distinguish permitted conduct from disclosure obligations, and use the official standards and curriculum examples when reviewing difficult cases.