The CFA Institute currently allows exam-takers to use only two calculators: the Texas Instruments’ BA II Plus or the Hewlett-Packard 12C.
There are several versions of each of these calculators on the market which vary in cost, speed and operating system.
In a test where a few extra minutes can make a big impact on your score, finding the best financial calculator for you is an essential part of your core CFA exam study material.
Texas Instruments BA II Plus vs. BA II Plus Professional
Texas Instruments’ BA II Plus (including BA II Plus Professional) tends to be the more user-friendly option.
It uses an Algebraic Operating System (AOS) model which more closely resembles “school” math, making it easier to learn basic functions.
The BA II Plus tends to be larger than the HP options, includes a bigger screen, and is generally less expensive than the HP models.
BA II Plus
The BA II Plus is Texas Instruments’ original model. While faster than the HP 12C, it’s not quite as fast as the platinum model in terms of processing speed.
However, its operating system is easier to learn and more intuitive. It also supports combination and permutation formulas (nCr) and (cPr).
BA II Plus Professional
The BA II Plus Professional is an “upgraded” version of the BA II Plus. It’s slightly more expensive than the BA II plus. The Professional offers more advanced functions including calculating Discounted Payback Period which is missing from the BA II Plus.
Other benefits include the ability to save keystrokes on the Time Value of Money functions.
Unlike the Plus, the Professional model includes a pop-off battery case which is much easier to change. It also offers a bigger display which makes present and future value problems easier. Some people dislike the stiffness of the Professional’s keys.
HP 12C Original vs HP Platinum
The Hewlett Packard 12C (including the HP 12C Platinum and 12C 30th anniversary edition) is the “classic” financial analyst calculator and has been around since the 1980s.
It is smaller, tends to be more expensive than Texas Instrument’s calculators, and uses Reverse Polish Notation (RPN), which is a calculation “language” which can be counterintuitive to those not already familiar with it.
The HP 12C has been in continuous production since 1981. Though it’s been around for a while, it remains the product of choice in most financial institutions.
HP has produced several iterations, including the Platinum and Anniversary models, all of which are permissible on the CFA exam.
Original HP12
The original version of the HP 12C offers 120 built in functions and stats. It’s 5×3 inches in size and has a small 10-character display.
The original model offers a slim design. If you take the time to get used to RPN, this calculator can be very easy to use.
12C Platinum
The 12C Platinum is an updated version with increased memory, more built-in functions, and a significantly faster processor; the company claims up to six times faster.
It also includes “algebraic mode” which allows for more familiar input in addition to the traditional four-level Reverse Polish Notation entry.
30th Anniversary Edition
The 30th anniversary edition was a limited-run version released in 2011. Only 40,000 models were released. Because of its rarity, this version is often harder to find and more expensive.
However, it’s also larger, has better battery like, and is again faster with more built-in functions than the Platinum. Users reported great speeds.
Final Thoughts
If you have time to familiarize yourself with it, HP is an industry classic for a reason: it’s faster, sturdier, and the platinum model is much faster than other options.
Its method of saving keystrokes counterintuitive at first but can save you a lot of time as you become more efficient.
If this is an initial calculator purchase, keep in mind that the AOS or CHN operating language will be easier to pick up quickly and perform calculations in a familiar format. The Texas Instruments calculators are easier to get used to for beginners.
Either calculator will be invaluable to help you pass the CFA exam. Just remember to use your calculator regularly with CFA exam sample questions.
Repetition is key to being comfortable with your calculator and passing the exam.
For more information about using your calculator, see our tutorial for answering standard deviation questions with your calculator on the exam.
