Can we use shorthand or acronyms for the free response questions?

CFA Level III
#1

I’m really curious on whether or not I can use shorthand notation that I’m used to using in my answers or if the graders will be sticklers on this.

Here are some shorthand notations I like to use, let me know if it safe to use or if graders will require that they be written out:

  • “w/” for with
  • “&” for and
  • “k” for thousands and “m” for millions
  • Reqmt instead of requirement
  • Mgmt instead of management
  • Req’d for required
  • S/t or l/t for short term and long term
  • Dur instead of duration
  • Delta (triangle shape) for change
  • DB and DC for defined benefits or contributions

Thanks!

#2

W.S.W.N.A.L.A.A.A.U.

“Why Should We Not As Long As Acronyms Are Understandable”

#3

The only flaw I see is dur…may want to be specific with macauly, modified, and effective.

#4

As long as the graders understand what you’re saying, I’d imagine shorthand will be fine. Daren Miller at Wiley, who was an exam grader for a couple of years, says you can even draw arrows for things going up or down. https://youtu.be/eSHIjxAINqI?t=661 In this video you can see him writing a /w and “mngts” in the example too.

I would think that we’ll want to stick to the very obvious and well known shorthand though.

#5

Of course I’d stick with conventional shorthand that can reasonably be understood. I just wanted to make sure whether or not the graders are forced to assume nothing more than what is written word for word or if they can act as human beings with common sense.

Your answer has given me much relief though, thank you!

#6

My usage is when writing out the equation for asset allocation adjustments such as purchasing futures to increase portfolio duration. I don’t think the method of duration makes a difference here. Albeit, at the end of the day everyone should simply be using effective duration only

#7

Unless the CFAI explicitly states acronyms are accepted, then why risk it? It doesn’t take THAT much longer to write out the words.

#8

They publish a list of accepted acronyms