CAIA Exam Curriculum

Curriculum Overview: The CAIA Charter exam curriculum is revised regularly to incorporate relevant, practical industry developments, and the latest academic research. The curriculum consists of two exam levels, taken in succession. Both Levels have been updated for the 2022 exam cycle and each exam reflects content from the digital and digital + print 2022 curriculum only.

CAIA Level I Exam Topics

March 2022 Exam

Professional Standards and Ethics

  • CFA Institute Standards of Practice

Introduction to Alternative Investments

  • What Is an Alternative Investment?
  • The Environment of Alternative Investments
  • Quantitative Foundations
  • Statistical Foundations
  • Financial Economics Foundations
  • Derivatives and Risk-Neutral Valuation
  • Measures of Risk and Performance
  • Alpha, Beta, and Hypothesis Testing

Real Assets

  • Natural Resources and Land
  • Commodities
  • Other Real Assets
  • Real Estate Assets and Debt
  • Real Estate Equity

Private Securities

  • Private Equity Assets
  • Private Equity Funds
  • Private Equity Fund of Funds
  • Evolution of Investing in Private Equity
  • Private Credit and Distressed Debt

 


Hedge Funds

  • Structure of the Hedge Fund Industry
  • Macro and Managed Futures Funds
  • Event-Driven and Relative Value Hedge Funds
  • Equity Hedge Funds
  • Funds of Hedge Funds

Structured Products

  • Introduction to Structuring
  • Credit Risk and Credit Derivatives
  • CDO Structuring of Credit Risk
  • Equity-Linked Structured Products

 

Level I Topic

Approximate Exam Weight

Professional Standards and Ethics 15-25%
Introduction to Alternative Investments 20-28%
Real Assets 11-17%
Private Equity 12-20%
Hedge Funds 11-17%
Structured Products 10-14%

 

Exam Registration & Fees

 

CAIA Level II Exam Topics

March 2022 Exam

Emerging Topics

Ethics Regulations and ESG

  • Asset Manager Code
  • Recommendations and Guidance
  • Global Regulation
  • ESG and Alternative Investments
  • ESG Analysis and Application

Models

  • Modeling Overview and Interest Rate Models
  • Credit Risk Models
  • Multi-Factor Equity Pricing Models
  • Asset Allocation Processes and the Mean-Variance Model
  • Other Asset Allocation Approaches

Institutional Asset Owners and Investment Policies

  • Types of Asset Owners and the Investment Policy Statement
  • Foundations, and The Endowment Model
  • Pension Fund Portfolio Management
  • Sovereign Wealth Funds
  • Family Offices and the Family Office Model

Risk and Risk Management

  • Cases in Tail Risk
  • Benchmarking and Performance Attribution
  • Liquidity and Funding Risks
  • Hedging, Rebalancing, and Monitoring
  • Risk Measurement, Risk Management, and Risk Systems

Accessing Alternative Investments

  • Hedge Fund Replication
  • Diversified Access to Hedge Funds
  • Access to Real Estate and Commodities
  • Access through Private Structures
  • The Risk and Performance of Private and Listed Assets

Due Diligence & Selecting Managers

  • Active Management and New Investments
  • Selection of a Fund Manager
  • Investment Process Due Diligence
  • Operational Due Diligence
  • Due Diligence of Terms and Business Activities

Volatility and Complex Strategies

  • Volatility as a Factor Exposure
  • Volatility, Correlation, and Dispersion Products and Strategies
  • Complexity and Structured Products
  • Insurance-Linked and Hybrid Securities
  • Complexity and the Case of Cross-Border Real Estate Investing

 

Level II Topic

Approximate Exam Weight

  Multiple Choice Constructed Response
Emerging Topics 0% 10%
Ethics, Regulation, and ESG 0% 10%
Models 8-12% 0-10%
Institutional Asset Owners and Investment Policies 8-12% 0-10%
Risk and Risk Management 8 – 12% 0-10%
Methods for Alternative Investing 8-12% 0-10%
Accessing Alternative Investments 8-12% 0-10%
Due Diligence and Selecting Strategies 8-12% 0-10%
Volatility and Complex Strategies 8-12% 0-10%

 

Exam Registration & Fees