CAIA Level II
More study resources
Cheat sheet
Keep the key ideas within reach.
ExploreKey terms
Get comfortable with the vocabulary.
ExploreStudy plan
Give each week a clear focus.
ExploreCommon mistakes
Understand the traps and how to avoid them.
ExploreCase studies
Put your knowledge to work in context.
ExploreExam-day guide
Prepare for the day ahead.
ExploreAbout this exam
CAIA Level II is the second and final examination in the Chartered Alternative Investment Analyst program, the professional credential for people who allocate capital to, or manage money within, alternative asset classes. It is generally taken after Level I and is aimed at candidates who already command the vocabulary of alternatives and now need to apply it: structuring, due diligence, risk budgeting, valuation, and portfolio-level decisions rather than pure definitions. Coverage spans asset allocation and institutional investors, private equity, real assets, hedge funds and managed futures, credit and structured products, ethics and professional standards, and emerging topics such as evergreen fund structures and digital assets. Because the exam is applied, preparation should centre on working through cases and multi-step problems rather than re-reading summaries; candidates typically combine the official curriculum with question practice, a written error log, and timed mock sessions. Note that the CAIA Association's Level II and exam-day pages returned errors when this page was compiled, so item counts, timing, fees, pass standards, and retake rules could not be verified and are marked for review rather than stated here. This page is independent study material and is not affiliated with, endorsed by, or sponsored by the CAIA Association.
What you'll study
About CAIA Level II preparation
How is the CAIA Level II exam delivered?
It is a multiple-choice examination delivered by computer at test centres, in the same format family as Level I. The CAIA Association's exam-day page was unavailable when this page was compiled, so confirm current delivery mode, appointment windows, and testing vendor details directly on caia.org before booking a date.
How many questions are on the exam and how long do I have?
We cannot state this reliably. The official Level II and exam-day pages returned errors at the time of writing, so item counts and time limits are withheld rather than guessed. Candidates should treat any third-party figure as unverified and check the current candidate handbook on caia.org, because item counts are revised between exam years.
What does it cost to sit Level II, and is there a discount?
The standard registration fee is not stated in the source material available to us. The CAIA Association homepage advertises one promotional offer: register for the CAIA exam by December 7 and save US$400. The page does not identify the academic year the deadline applies to, so verify the live fee and deadline on caia.org.
If I fail, can I retake the exam and how soon?
Retake rules, waiting periods, and any attempt limits are set by the CAIA Association and were not retrievable from the source pages at the time of writing. Do not plan a study schedule around an assumed waiting period. Check the candidate policies area of caia.org, which governs retakes and fees, before registering.
How difficult is Level II compared with Level I?
Level II is generally regarded as the harder of the two because it tests application rather than recall: candidates are asked to evaluate a strategy, choose among competing approaches, and justify an allocation decision. Knowing definitions is necessary but rarely sufficient. Expect multi-step reasoning, and practise explaining why an answer is wrong, not just which option is right.
In what order should I study the Level II topics?
Start with asset allocation and institutional investor material, since it frames how the specialist asset classes fit into a portfolio, then work through private equity, real assets, hedge funds and managed futures, and credit and structured products. Study ethics continuously rather than last, and keep emerging topics for the final weeks, when current developments are freshest.
What are the most common reasons candidates fall short?
Three recurring failure modes: memorising definitions without practising applied questions, deferring ethics and professional standards until the final days, and practising untimed so that exam-day pacing collapses. A fourth is skipping the error log, which means the same mistakes recur. Build timed sets early and review every wrong answer's reasoning, not just the correct option.
How long does it take to complete the CAIA program, and how long is a pass valid?
Neither the minimum time between levels nor any validity period for a passed exam is stated in the source material available, so we do not report a figure. Program completion rules, including any window for finishing both levels, are governed by the CAIA Association. Confirm them in the current candidate handbook on caia.org.
Where can I verify exam logistics before I register?
Go to caia.org and use the Become a Candidate and Current Candidates sections, which host registration, scheduling, and policy information. The dedicated Level II and exam-day URLs returned 'page not found' errors when this page was compiled, so navigate from the homepage rather than relying on bookmarked deep links that may have moved.
How should I use practice questions during preparation?
Use them as diagnostics, not as a scoreboard. Work questions in timed blocks after covering a topic, then rework only the misses a week later to test retention. Track each error by cause: knowledge gap, misread item, or calculation slip. If most errors are knowledge gaps in one domain, rebuild that domain before adding new material.