GIPS quiz

CFA Level III
#1

real estate , performance of composite with more than 5 protfolios must contain which internal dispersion A high and low annual TW return B range C standard deviation D interquartile range E any of above

#2

A

#3

A

#4

Okay this I had ZERO clue… Explanation behind this? Why is it different for real estate?

#5

This question definitely made me uncomfortable. Thought I was about done studying.

#6

markCFAIL Wrote: ------------------------------------------------------- > This question definitely made me uncomfortable. > Thought I was about done studying. This is from the official GIPS. I am not even 100% it is in the book. 6.A.16. The following items MUST be presented in each COMPLIANT PRESENTATION: a. As a measure of INTERNAL DISPERSION, high and low annual TIME-WEIGHTED RATES OF RETURN for the individual PORTFOLIOS in the COMPOSITE. If the COMPOSITE contains five or fewer PORTFOLIOS for the full year, a measure of INTERNAL DISPERSION is not REQUIRED. b. As of each annual period end, the percentage of COMPOSITE assets valued using an EXTERNAL VALUATION during the annual period.

#7

A

#8

This is only for real estate right? For everything else you have the option of 1) Equal weighted 2) Asset weighted 3) high low range 4) Intequartile range 5) range

#9

A quick question: Is internal dispersion required for Private Equity?

#10

answer is A I don’t notice any internal dispersion required for Private Equity

#11

Soccertom9 Wrote: ------------------------------------------------------- > This is only for real estate right? For > everything else you have the option of > > 1) Equal weighted > 2) Asset weighted > 3) high low range > 4) Intequartile range > 5) range Incorrect. You can use any measure you want for regular composites: “Note that the GIPS standards do not limit firms to using one of the measures of internal dispersion introduced above. A firm may prefer another way of expressing composite dispersion. The method chosen should, however, fairly represent the range of returns for each annual period.” (CFAI, Volume 6, page. 317)

#12

answer is A high and low is required for real estate