Is it better to issue debt out of a holding company or an operating subsidiary?
would the debt be rated higher if issued from holdco or opco??
What your review strategy?
Would love to hear peoples’ thoughts on this? I’m finding many of the EOCQs seemingly too easy.
Since most are coming to the end of their first pass through the material, I thought we could throw out our strategies for the last month or weeks before we all start ripping through some mocks.
For EOC qns 2 reading 17(principles of asset allocations) the ans states that higher-risk assets should hve a wider corridor to avoid frequent rebalancing.
However, in reading 32 ( monitoring and rebalancing in exhibit 8, under asset class volatility, it states higher the volatility of a given asset class, narrower the optimal corridor.
Isn’t high-risk asset = high volatilty asset class? Am I missing anything here? If not, can someone advise how do we interpret the difference between these 2 situations? Thanks!!
i can attend study group in downtown toronto or uptown Richmond hill
There are a lot of biases in CFA Level 3. I tried to list them all. Did I miss any?
Belief Perseverance Biases 1. Representativeness Bias 2. Illusion of Control Bias 3. Conservatism Bias 4. Confirmation Bias 5. Hindsight Bias
1. Framing Bias 2. Anchoring and Adjustment Bias 3. Mental Accounting Bias 4. Availability Bias
1. Loss Aversion Bias 2. Overconfidence Bias 3. Self-Control Bias 4. Endowment Bias 5. Regret Aversion Bias 6. Status Quo Bias
I know it’s too late to start preparing for L3, but still I would like to go for it probably as practice for the next year.
Any tips on how best to prepare, say with 2 hrs on weekday and 12 hrs total on weekend?
Do you have to show the formulas too? For instance, if the question asks you to Show Calculations and you are solving for the Sharpe Ratio, with R=15%, RFR = 3% and SD = 20, is it acceptable to just show the calculation
SR = (15-3)/20 = 0.60 or,
do you have to show the forumla
SR = (Rp - RFR)/SD