CFA Private Markets Pathway

Ready to master the complex world of private markets for your Level 3 CFA exam?

This guide is built specifically for the 2026 CFA Private Markets Pathway. It covers everything you need. We start with the fundamentals. You will learn about private investments. You will understand their unique structures. Then, we look at the people involved. We explore the General Partner (GP) perspective. We also cover the Investor (LP) view. The book details the full investment process from start to finish. After the basics, we dive deep into the specific asset classes. We explore Private Equity. We cover Private Debt. The book clearly explains Private Special Situations. You'll also master Private Real Estate investments. Finally, we tackle the essentials of Infrastructure. Every key topic from the curriculum is included. However, this book does not contain the core topics of the level 3.

Many study guides are too academic. They feel dense and hard to read. They just list facts without connecting them. This book is different. We focus on clarity and practical understanding. We don't just tell you what private equity is; we explain how GPs and LPs actually think about deals. We connect the dots between the legal structures, the investment strategies, and the real-world assets you’ll be tested on, like real estate and infrastructure. Where other books might overwhelm you, this guide builds your knowledge step-by-step. It’s designed to be a clear pathway, starting with the basics (page 4) and moving logically through every major asset class (pages 60–154), making complex topics easy to grasp.

This book is your complete resource. When you open it, you won't be thrown into confusing models. We begin on page 4 with “Private Investments and Structures.” This section lays the groundwork, helping you understand how these deals are put together, from limited partnerships to waterfalls.

Once you have that solid foundation, we move to the key players on page 26. This chapter, “General Partner and Investor Perspectives and the Investment Process,” is critical. You'll get inside the heads of both the investment managers (GPs) and the clients (LPs). We walk you through the entire investment lifecycle, from sourcing deals to managing the portfolio and exiting investments.

Then, the book dedicates a full, detailed section to each core private market asset class. We kick off with the one everyone talks about: “Private Equity” (page 60). This isn't just a high-level summary; it’s a detailed look at LBOs, venture capital, and growth equity.

Next, we explore the massive and growing world of “Private Debt” (page 88). You will learn about direct lending, mezzanine financing, and distressed debt, which are all crucial components of today's credit markets. We also tackle the complex strategies in “Private Special Situations” (page 107). This is where you'll learn about unique opportunities, financial turnarounds, and event-driven strategies.

The final part of the book is dedicated to real assets, which are vital for diversification. You'll get a deep dive into “Private Real Estate Investments” (page 128), covering everything from core properties to opportunistic development. Finally, we cover the essential and expanding world of “Infrastructure” (page 154), looking at how investors fund the bridges, power grids, and data centers that support our economy. This book is your comprehensive map from start to finish.

Disclaimer: Please note that the author of this book is not affiliated with the CFA Institute. This publication is independently produced and is not endorsed, approved, or sponsored by the CFA Institute. The use of the “CFA” name is under the nominative fair use doctrine.