Is Quant the toughest section in L2?

Guys, I just did quant yesterday and dont remeber anything about it. I just dont understand what they want us to learn from those topics. I am almost done with my first reading except Port Mgmt (hardly remember anything though). I am starting Port Mgmt today. We still have 2 months and would like to finish one more reading of everything before hitting to practice tests.

i doubt there will in depth calculations. I’d suggest focusing on concepts: assumptions, tests, ways to adjust for violated assumptions.

I second maratikus. Just concentrate on the main concepts and figure how they can be applied to the real investment related examples.

Dude, they only test on even numbered books anyway, don’t even worry about it.

Black Swan Wrote: ------------------------------------------------------- > Dude, they only test on even numbered books > anyway, don’t even worry about it. Damn! I started with the odd books. What a waste of the last 3 months.

Maybe not a total waste, it’ll probably help you out some in the True / False section.

Second timers: How many questions of Quants were there in exam? CFAI Says 5-10%

On any given vignette, how much overlap with the material is there? Theoretically I could see a question go from estimating values with quant, to making fsa adjustments, to valuing the firm, to determining the credit rating of said firm. Obviously with valuation and FSA there is quite a bit of overlap but are most of the vignette all encompassing or do they try and break them down into different sections for the most part?

I agree you should focus more on the concepts, such as assumptions and interpretation of results. However, you should not understatimate the use of simple calculations (e.g. correlation tests) or being given some calculated numbers and filling in the missing parts. Although the quant section may seem like a small part of the curriculum, it’s actually a pretty important and often tested topic. You will see quant in Port. Management for monitoring the perfomanace of active trading strategies, APT model, among other things. In equity it’s used for the APT model, calculating correlations among variables, etc. Not to mention the quant section itself! I don’t say this to scare you, but to simply make you aware that it’s something worth learning so you can nail it on the exam. Chances are there will be easy questions related to the Quant section, but I wouldn’t take any chances.

I don’t think it’s the toughest…really. It all has to do with reading it and making sure that you understand the concepts thoroughly. And…reading from the Curriculum instead of Schweser (esp. the theory part) really helped me understand the concepts better. Of course, this is just my opinion. That said, it doesn’t mean that I still remember what I learned in Quants a couple of months ago. I hope to re-read it and hopefully, it will be easier the second time around.

Welcome back ruhi… we missed you!

I don’t remember anything from Quant now … all those assumptions, conclusions, significance/insignificane of the parameters of all this AR(1)… AR(2) … ARCH models… Gosh!!!

Dinesh, we need to stop playing pool !!

Also just did 3 pages from Schweser … Can you believe that!!

I’m doing some Qbank quant questions right now and regression is a frigging bear. It’s like I didn’t even read the sections.

It’s all about the ANOVA table

Yeah, starting to realize that (regarding the ANOVA table)…funny thing is, I didn’t even really bother with regression for Level I and did fine on quant…it’s like 80% of the material this time…

mc, thanks! saw your comment in my blog. I’ve started studying again, thankfully…though not in full force. how’s your prep shaping up?

I can’t imagine that Quant should be the toughest section. I took 2 Time Series Econometrics classes in grad school though, so for me the Quant section is a breeze. So I think it has to do with what we are most familiar with. For example, I never took a real Corporate Finance class. So for me, that’s the hardest section. I would just suggest repetition. Keep doing those problems until the concepts absorb into your brain. I’m not sure I would stop with just learning the concepts and skip over the calculations. I think you’ll be taking a big chance if you can’t do the calculations. Anyway, the problems are the easy part. Applying concepts is what separates us from robotic accountants. (Sorry to any accountants who may be listening.) LobsterBoy

Lobster, Imagine people who have never taken any finance module … do they have a chance at Passing L2?