Nice scores Banni - I I did: AM 47/60 PM 47/60 Im with you on q15, but I always choose discount rate. Have not looked up the reasoning though. through me for a loop when answering. Got the q45 IO q wrong. I went 2 for 6 in that section. Reviewing FI for the rest of the day. Did you get question # 8 right? If so can you take a look at my question in cfaboston28 orignal post on mock questions? its driving me loco…
Those are nice scores bannis! Just keep your chin up for next 6 days and you are onto L3. How did you get that correct on IPS? Q#58 - He doesn’t have unique requirement. 100K out of 78m portfolio is nothing. Explain me.
CPK- When you study for this, do you focus more on the actual equation or understanding the concept behind the equation. I do much better with concepts than memorizing equations-but for some damn reason I can’t get forwards, futures, etc., no matter how hard I try.
I try and link the concept together. I feel good with equations and if equations can help me understand the logic, that much the better for me.
El Matarife Wrote: ------------------------------------------------------- > CPK- When you study for this, do you focus more on > the actual equation or understanding the concept > behind the equation. I do much better with > concepts than memorizing equations-but for some > damn reason I can’t get forwards, futures, etc., > no matter how hard I try. Have you looked at Jscott24’s explanations for FRAs/swaps?
perfect CP- i won’t forget that. the S = F/(1+rf)^t step just glued it into my brain to get to the (X-F) part in the numerator straight. awesome. bring on the put/call parity q’s then. i won’t lose this point again.
cfaboston28 Wrote: ------------------------------------------------------- > Those are nice scores bannis! Just keep your chin > up for next 6 days and you are onto L3. > > How did you get that correct on IPS? Q#58 - He > doesn’t have unique requirement. 100K out of 78m > portfolio is nothing. > > Explain me. I think its b/c the $100k is based on the portfolio income of $340k, which is pretty significant. I would also think he has liquidity issues since all his portfolio is tied up in illiquid assets. the only liquidity he has is $1mm. that my friend is an issue in this environemnt
I don’t see fking 1mm in the whole vignette. Where is that hidden?
also just remember the other way this might be tested is that (1+rf)^t can very easily become e^(rfc*t) (where rfc is the continuous rate) then remember that 1/(1+rf)^t = e^(-rfc*t).
Cubemonkey Wrote: ------------------------------------------------------- > El Matarife Wrote: > -------------------------------------------------- > ----- > > CPK- When you study for this, do you focus more > on > > the actual equation or understanding the > concept > > behind the equation. I do much better with > > concepts than memorizing equations-but for some > > damn reason I can’t get forwards, futures, > etc., > > no matter how hard I try. > > > Have you looked at Jscott24’s explanations for > FRAs/swaps? I have not, my friend. Is it as easy as searching for his name on here?
i got 8 wrong. i put collateral composition. looking at the answer now… yeah… is their answer wrong?
cfaboston28 Wrote: ------------------------------------------------------- > I don’t see fking 1mm in the whole vignette. Where > is that hidden? its in exhibit 3 - market value of stocks. Im just saying that in reality he has liquidity issues, unless he has extra cash somewhere else. I am thinking too much into this. Its part of my job at work so this IPS shit is BS in the CFAI
bannisja Wrote: ------------------------------------------------------- > i got 8 wrong. i put collateral composition. > looking at the answer now… yeah… is their > answer wrong? Its got to be wrong. take a look at the answer. I think the question should have been what is “incorrect” not "correct. +1 here
and boston- i got the PM one right- he wanted to gift 100k a year from the investment portfolio- right side of the chart shows income from that portfolio… 340k total. i’d call 100k out of 340k pretty significant. that one seemed like a no-brainer to me.
87 on the PM - I feel awesome about that, but still felt like I was guessing between two answers a lot. Banni, I’m with you on the vesting thing, that threw me off, I figured the higher discount rate = greater interest, therefore higher pension expense.
yeah but he has 78m in total portfolio and 100K out of it is like peanuts. I think It just out from 340K.
but who’s to say that 78 mil is generating any revenue. 1.5mm in real estate- we all know how that market’s been going and then the bulk in a business that only earns him a few hundred k a year. there are grey questions (like the ethics one where folks have complained about the “elite” wording- i think that q was a piece of crap even if i got it right by maybe choosing the lesser of 2 evils), but i don’t think this was one of those. 100k a year donation out of 340k in income is significant.
anyone notice there were “2 columned” answers (where the question asks you about more than 1 concept)? I havent taken the PM yet, but thought that this was weird on the AM section.
AM 77 PM 77
why I see mock exam are free? jpm351 Wrote: ------------------------------------------------------- > There are 3 sample exams (one of which is free) > that consist of 30 questions each. $40 each > > There are 2 mock exams, which are 60 questions > each. $60 each or $100 for pair