Does the CFA Exam Get Harder Every Year?

This is a question I've been asked a lot recently by friends and colleagues who are looking to boost their credentials in a very competitive job market. While many are coming out of school (Undergrad or MBA) and looking for an edge, some are thinking about the timing of when to write the exam.

While competitive tendencies would suggest that writing sooner would be beneficial, school and work schedules don't necessarily permit the allocation of study time required. Conversely, potential candidates are worried that if they put it off, the CFA exam will get harder and harder.

While it is true that the curriculum changes from year to year, and possibly that the most recent exam is much different from the exams given a decade ago, the most recent exam and associated curriculum only had incremental changes from the previous year (remember, I wrote Dec 2008 and June 2009... And got sent to years worth of books for two years worth of curriculum fees).

The only real changes I've noticed between the curriculum from year to year is that they added a VERY brief section on Game theory and Nash equilibrium. If I'm not mistaken, there was only one question on the 2009 exam, and even then I'm guessing that because it is so obviously new, it was probably one of those questions which will not count and will be evaluated for future inclusion in other tests.

With the introduction of the game theory section, however, there was an incredibly large optional section (which, by the way, is incredibly interesting reading, especially for those interested in business strategy as a science, rather than an over used buzz word). It doesn't seem like the basics of financial physics has really changed all that much.

Having said that, I would not be surprised if:

• More of the "optional" material slowly starts creeping into becoming mandatory
• More of the Level II material slowly starts creeping into Level I
• More of the Level III material slowly starts creeping into Level II
• There is more material added to Level III
  

But this is no different than how our school curriculum teaches subjects earlier and earlier. Calculus used to be taught mostly at the university level but has crept into high school. In the same way, I don't think there is anything to fear, when it comes to the CFA program. However, although the physics of finance don't change, this makes a compelling argument for continuing education and keeping your skills sharp.

Capitalists being what we are, always looking for that edge, I'm sure someone will eventually be interested in providing the service to teach you how to one-up your competition.