I think we are in the same situation. I graduated last year in university. Did well in my finance subjects thinking maybe I could do CFA too. While working, I had doubts if I would take it already or have self preparation first through reviewing my books back in college. But analysis paralysis kills me (thinking it over and over again). So I enrolled for the exam. I quit my job because I think I needed a lot of time, cause I know my strengths and weaknesses. So when I started reviewing, BAM!! I am not sure why it became so hard already. But I am grateful that I quit my job and reflected more things in my life - if being in finance industry is what I really wanted. I have a lot of down moments while studying. I was thinking to withdrew and gave up. Then something happened to that made me realized CFA is the missing piece in my life. I said to myself I’ll finish this. If I didn’t pass this season, I’m decided to take it again. It sounds cheesy, but it all boils down to passion. But I still hope I pass so it wont be a waste of time and money. And also for me, thinking CFA is really BIG (i dont know what words to describe), that makes me feel small and not smart. But I also realize to take it one step at a time. Don’t put your mind to complete CFA itself, focus first on Level 1.
This is quite long read but I hope you get my point and helps you. Let’s pass CFA Level 1 first
I graduated from business school and thought that the CFA would just cover what I already knew, with a few twists thrown in I could study for, so I signed up. Of course, ignorance was bliss. About half way through level 1, you are done with what you thought you learned in business school (and all the other stuff you learned in business school – operations, strategy, etc. – are not tested) and swimming in the deep end.
So: you get sucked in with false premises and, once in, you tend to stay in because you don’t generally fail at stuff and, when you inevitably fail one or more of the levels, you just pick yourself up and keep going because, after all, you started it and invested ('sunk costs") time and ego. In level 1 and level 2 – which are heavily math-oriented and accounting oriented – you will learn stuff in more detail than you ever learned it in business school, and you will actually be happy to learn this stuff. As for level 3 – OMG!
Aubrn, you should not include sunk costs when performing capital budgeting and calcuating net present value (Level 2).
Antoine J, if you have some free time on the weekends and at night after work, then sign up for Level 1. Don’t think beyond that. (The worst part about the program is that you sacrafice at least 3 memorial day weekends.)
RE: “Aubrn, you should not include sunk costs when performing capital budgeting and calcuating net present value (Level 2).”
I was not performing a capital budgeting exercise.
It was a behavioral finance exercise.
As you know from the curriculum (Level III), “behavioral finance” is basically all about why people fail to follow rational expectations. I feel fully within the fairway of the curriculum . . .
If you recall Level III behavioral finance, the answer the question of which bias is being exhibited in any case example will always seem to involve an overlay of a variety of possible biases – teasing out which particular “named” bias, among many seemingly equally obvious choices, to the satisfaction of the curriculum, was always the most difficult part of that LOS.
