Congratulations on your selection of the Keir Study Package for the CFP® Certification Examination. These books are designed to help you pass your examination the first time.  We would like to share with you some ideas for the most effective use of these materials.    

One of the advantages of the Keir books is that they enable you to study efficiently.  If time is at a premium, the Keir books can help you make the best use of the time you have available.  You are probably already aware of the study techniques that work best for you. Different people study in different ways, so you should not assume there is a best way to study.  We want to suggest some of the ways you can use the study materials in this package.  

First, we would like to caution you that the CFP® Certification Examination is not to be taken lightly.  The examination is 10 hours long and is taken over two days.  Students generally find this examination to be extremely difficult, both mentally and physically. The examination consists of 285 multiple choice questions. A large part of the examination consists of cases that require students to read and analyze many pages of information before answering the multiple choice questions.  The pass rate for this examination overall has been in the 50 to 60 percent range.  The pass rate for those who retake the examination has been only around the mid-40 percent range. The pass rate for students using the Keir materials typically has been 20 percentage points higher than the national average, in the 70 to 80 percent range.

The CFP Board of Standards, which prepares and administers the examination, has made the test difficult in order to make the CFP® designation prestigious. The examination questions and the areas emphasized change from examination to examination.  Since it is difficult to predict the specific questions and topics that will be tested, you will need to prepare on all topics.

The examination questions are based on the eight following Job Task Domains identified by the CFP Board of Standards:

1. Establishing and Defining the Client-Planner Relationship (8%)
2. Gathering Information Necessary to Fulfill the Engagement (9%)
3. Analyzing and Evaluating the Client’s Current Financial Status (25%)
4. Developing the Recommendation(s) (25%)
5. Communicating the Recommendation(s) (9%)
6. Implementing the Recommendation(s) (9%)
7. Monitoring the Recommendation(s) (5%)
8. Practicing within Professional and Regulatory Standards (10%)

Questions may test a candidate’s knowledge, comprehension, analysis, synthesis, application, or evaluation of facts and information. The approximate percentage of test questions is listed next to each of the eight Job Task Domains. In addition to the Job Task Domains, the CFP Board released the 78 Principal Topics which provide the framework for the information tested on the CFP® Certification Examination as applied to the Job Task Domains. However, it is important for the student to know that the CFP Board of Standards does not guarantee that questions will be drawn evenly from the 78 topics. Questions from one topic may represent a much higher percentage of a given test area than questions from another topic. Some of the 78 topics may be tested only slightly. There is no way of knowing in advance which topics will be tested most heavily.

The Keir Comprehensive Review Package covers the eight Job Task Domains and all 78 topics on the CFP Board of Standards list. To test your understanding and ability to apply knowledge of these areas, there are also application questions for each topic. After reading the material for each topic, we recommend that you test your understanding of this material by answering the application questions.

Students should begin preparing for the CFP® Certification Examination approximately three months before the date of the examination.  The recommended study time is between 200 and 300 hours. To study all of the topics, you should plan to study at least one section each day. The best plan is to set a specific time each day for study and then maintain that schedule until the examination date.  Studying each day for an hour or two is better than trying to study all day on Saturday or Sunday.  Even studying a few minutes at a time several times each day is better than trying to do it all in a short time near the examination date.  Study time beyond four hours in a day is generally inefficient.

To help you allocate your study time, please refer to the following items later in this Study Tips section:

Most students begin their review with the Job Task Domains and then the General Principles of Financial Planning.  While it is not essential to begin in this order, we believe it is a good first overview of the financial planning concepts.  Read one section at a time and answer the Application Questions for that section. If you answer 75% of these questions correctly, you are ready to move on to the next section. If you do not score 75%, you should review the areas in which you missed questions.  If you do not mark the answers in your book, you can go back and take the test again. If you need to repeat the test, you should answer the questions in varying order so you do not just memorize the answers. In other words, the second time you take the test, skip around in the questions to be sure you understand the material.

After you complete both volumes, you should then make use of the Case Studies Book.  The Case Studies Book contains case studies for each of the core subject areas. These case studies require students to read a fact situation and then answer multiple choice questions based on these facts. The questions are designed to test a student’s ability to synthesize and apply the information. These case studies are similar to the case studies that will be found on the CFP® Certification Examination.  You should read the answers and rationales for these questions to see that you are analyzing these facts correctly. Again, try to pass the case study questions with 75% or higher.

Especially when you study Topic 9 in General Principles of Financial Planning, you should also use Keir’s Practical Applications For Your Calculator included in the Keir study program. This book provides important information on the calculation of present values, future values, annuity values, internal rates of return, and other important time-value calculations.  A very important part of Keir’s Practical Applications For Your Calculator is an explanation on the use of financial calculators.  You must be able to make skillful use of a financial calculator in order to answer questions on the CFP® Certification Examination. There is a great deal of calculation required on many examinations, so it is important to practice use of the calculator.  

Keir also offers an online calculator course for either the HP-10B II or the HP-12C. These interactive calculator courses can quickly bring you up to speed on the calculator in about 3 hours. If you need help with the investment formulas and calculations, Keir also offers an online formula class for either the HP-10B II or the HP-12C. The formula class will help you to decipher and demystify the formula sheet and other investment calculations in about 2 hours. The cost is $75 per course which is available 24/7. 

After you have completed your review, you should set aside ten hours to take the Keir Simulated Examination. This simulated examination will give you important practice in answering the kinds of questions on the actual CFP® Certification Examination. After you complete the examination, you should check your answers and read the rationales for questions that you missed.

If you do not have enough time to complete the steps outlined above, we recommend that you try the accelerated approach described below.