CAIA Level 1 Curriculum Changes 2026: What's New and How to Prepare

Dimitri Dangeros, CFA, CAIA
57 minutes ago
4 min read

The Chartered Alternative Investment Analyst (CAIA) Association has introduced significant updates to its Level I curriculum for 2026, marking one of the most substantial revisions in recent years. These changes reflect the evolving landscape of alternative investments and aim to better prepare candidates for the complexities of modern portfolio management. Understanding these modifications is crucial for anyone planning to sit for the CAIA Level 1 exam in 2026.

Major Ethics Overhaul: A New Framework for CAIA Level 1

The most dramatic change in the CAIA Level 1 curriculum changes 2026 involves a complete restructuring of the ethics component. CAIA has discontinued its use of the CFA Institute's Code of Ethics and Standards of Professional Conduct, replacing it with proprietary CAIA Ethical Principles. This fundamental shift introduces two entirely new readings: "Professionalism and Fiduciary Responsibility" and "Ethics."

For candidates who prepared ethics materials in 2025, this change is particularly significant. The previous content is no longer applicable, requiring a fresh approach to studying ethical principles specific to alternative investments. Additionally, the weighting for ethics has been reduced from 15-25% to just 10% of the exam, reflecting CAIA's decision to reallocate emphasis toward core alternative investment asset classes.

This overhaul signals CAIA's commitment to developing standards uniquely tailored to the alternative investment industry, rather than relying on frameworks designed primarily for traditional investment professionals.

Rebalanced Weightings: Greater Focus on Core Asset Classes

The reduction in ethics weighting has created opportunities to emphasize other critical areas within the CAIA Level 1 curriculum changes 2026. Real Assets, Private Equity, and Hedge Funds have all received increased exam weightings, acknowledging their growing importance in institutional portfolios and the need for deeper specialist knowledge.

Real Assets now carries a weighting of 14-20%, up from 11-17%, despite maintaining essentially the same syllabus content. This suggests that candidates should expect more granular questions and a deeper examination of concepts within this domain, including real estate, infrastructure, natural resources, and commodities.

Private Equity has similarly seen its weighting increase to 8-12% from the previous 6-10%. The 2026 curriculum places slightly more emphasis on growth equity strategies, reflecting current market dynamics where growth-stage investments have become increasingly prominent in private equity portfolios.

Hedge Funds now represent 14-20% of the exam, up from 11-17%, with minor refinements to existing content covering macro and managed futures, event-driven strategies, relative value approaches, and equity hedge strategies.

Streamlined Introduction and Topic Refinements for CAIA Level 1

Topic 2, "Introduction to Alternative Investments," maintains its substantial 20-28% weighting but has been streamlined for the CAIA Level 1 curriculum changes 2026.

Reading 2.3 has been removed from Level I entirely, with its content relocated primarily to Level II. This leaves Topic 2 with eight readings instead of nine, creating a more focused foundational section.

Additionally, Reading 2.2 covering alternative investment funds and terms has received minor updates, while Reading 2.8 on alpha and beta estimations includes slight tweaks. The core foundations—covering quantitative and statistical concepts, financial economics, derivatives, and risk and performance measurement—remain unchanged, ensuring candidates still receive comprehensive grounding in essential analytical tools.

Digital Assets Expansion: Embracing Cryptocurrency Allocation

Recognizing the maturation of digital assets as an investable asset class, the CAIA Level 1 curriculum now includes a second reading in Topic 7 titled "Allocating to Cryptocurrencies." Previously, this topic contained only "Distributed Ledger Technology," which provided technological foundations but limited practical allocation guidance.

This addition reflects the reality that institutional investors increasingly consider cryptocurrency allocations within their alternative investment portfolios. While the overall weighting for Digital Assets remains unchanged, candidates should prepare for more comprehensive questions covering both technological infrastructure and practical portfolio implementation.

Overview of CAIA Level 1 Curriculum Changes 2026

Topic	Previous Weighting	New Weighting	Key Changes
Ethics	15–25%	10%	Complete overhaul: CAIA Ethical Principles replace CFA Code & Standards; two new readings added
Introduction to Alternative Investments	20–28%	20–28%	Reading 2.3 removed (moved to Level II); minor updates to Readings 2.2 and 2.8; now 8 readings instead of 9
Real Assets	11–17%	14–20%	Syllabus essentially unchanged; weighting increased
Private Equity	6–10%	8–12%	Slightly more emphasis on growth equity strategies
Private Debt	Not specified	Unchanged	No syllabus changes; weighting remains stable
Hedge Funds	11–17%	14–20%	Minor tweaks to content; no material changes to strategy coverage
Digital Assets	Not specified	Unchanged	New second reading added: “Allocating to Cryptocurrencies” (previously only one reading)
Additional Strategies	2–6%	2–6%	No changes; continues to focus on Fund of Funds

Strategic Preparation for the 2026 CAIA Level 1 Exam

Successfully navigating the CAIA Level 1 curriculum changes 2026 requires strategic adjustments to study plans. Candidates should prioritize the following:

First, allocate substantial time to the new CAIA Ethical Principles, approaching this material without assumptions based on other professional ethics frameworks. The proprietary nature of these principles means external resources will be limited initially.

Second, dedicate increased study time to Real Assets, Private Equity, and Hedge Funds, given their enhanced weightings. Focus on developing deeper conceptual understanding rather than surface-level familiarity, as the increased allocation suggests more complex questioning.

Third, ensure comprehensive coverage of both Digital Assets readings, particularly the new cryptocurrency allocation content. This emerging area may present unfamiliar concepts for candidates from traditional investment backgrounds.

Finally, note the structural changes in Topic 2, particularly the removal of Reading 2.3. Avoid wasting time on outdated materials by ensuring study resources specifically address the 2026 curriculum.

Conclusion

The CAIA Level 1 curriculum changes 2026 represent a thoughtful evolution designed to keep pace with the alternative investment industry's rapid development. By introducing proprietary ethical standards, rebalancing weightings toward core asset classes, and expanding coverage of digital assets, CAIA demonstrates its commitment to producing analysts equipped for contemporary investment challenges. Candidates who understand these changes and adjust their preparation accordingly will be well-positioned for success on exam day.