Hi All- What’s the best way to study FRA? I find this material hard and boring.
FRA is fairly important. Best way to study is think of them as binding-contracts (duh). The value of the contract is depends on the changing conditions around them. This might be a stretch… but say you were to go to the store and buy a coat. You are only allowed to wear this one coat for the entire winter. Also, you MUST where it EVERYDAY. Wouldn’t you want to know if this winter is likely going to be warmer than normal? Colder?
Coming back to this one:
I believe that the Curriculum is the best source for all that haven’t had this before. I found the Schweser notes way too condensed; no ledgers, no actual cases…am glad that I went through the EOCs to realize how much of a shortcut the notes are!
Shall we post any helpful links here (mnemonics, gaap vs ifrs etc)?
videos and practice questions
Pierre, I don’t think you qualify since you actually scored less than 50% in FRA No offense, but your comment on the forum a couple of weeks ago made you look like you were a bit lost! http://www.analystforum.com/forums/cfa-forums/cfa-level-i-forum/91317595
Difference between IFRS and US Gaap, thanks to Finquiz:
Thaaaaaaankkk Yoooooouuuuu!!! This, for me, is the hardest part of FRA knowing the difference between IFRS and GAAP
I hope I can find the mnemonics too…
For every FRA reading try to get a basic idea and then do as many questions as possible. You will make many mistakes but then try to remember the mistakes.
This is so true. I nailed the first half of FRA during the December exam, but struggled with the later chapters just because I hadn’t done enough practice questions and gone over my mistakes.
@ I-will-pass: Thanks for the finquiz link. That should be helpful.
I have been working through the curriculum since November and am on pace to begin reviewing by late March. Thus far, every subject seems within my grasp except for FRA. I will be taking a full week off from work to focus on FRA as soon as tax season is over. That’s really the only way to master it, in my opinion. You have to put in the hours.
I think the OP meant Financial Reporting and Analysis, not Forward Rate Agreements.
The best way to learn accounting is the same way to learn anything else–study and practice. Then study and practice. Then study some more, and practice some more.
If you don’t get a good grasp of accounting at Level 1, you will probably not pass Level 2.
I got a degree in accounting.
(OK, maybe that’s not practical between now and June 1.)
The trouble with accounting is that a lot of the rules are arbitrary, so if you forget them you cannot deduce them logically from other things you remember.
For me, the approach that worked was to write out the information a number of times; writing it helped stick it in my memory. I would write 3 × 5 cards, throw them away, write them again, throw them away (so that my wife didn’t complain about the clutter), write them again, and throw them away. After 3 or 4 times, I remembered the information.
I passed each exam the first time I took it, so that plan worked well for me. I hope you develop a plan that works as well for you.