I found AM easy but long and PM hard. So I have no idea if I passed it. Ponpon
i think both AM and PM are fair, but AM is too long, a lot to read, they really think we are all speed reader and no need to think?
yeah there were two return calcs in question one. For the second one you had to use the calculator with PV, FV, PMT, n given and find i.
yep there were two required return calcs for the first q, the second one five years before their retirement I think ?
TWO required returns for the first Q??? I did one. I’m doomed for sure.
I still don’t understand why we need to use the highest duration, in the CFAI exam in the book, only one duration is given
VROD Wrote: ------------------------------------------------------- > dealt with whether managers followed published > styles… Thanks, without giving out too much to ruffle any feather, can you give any more detail to jog my memory ? I can’t seem to remember this question. Thanks anyway.
i remember the question specifically asked for the return for the first year, unless we need to take the second distribution from the trust into account …
CFAAtlanta Wrote: ------------------------------------------------------- > yeah there were two return calcs in question one. > For the second one you had to use the calculator > with PV, FV, PMT, n given and find i. I did that for the first one too…
If we are talking about the same question in PM, I don’t remember the answer, but you had to use: return in domestic currency = domestic risk free rate + foreign risk premium concept for the hedge return (rd = rf + f = rf + id - if = id + (rf - if), where i’s are risk free rates. Unhedged return was obvious. I got stumped on the breakeven spread question - Only U.S. had duration higher than Singapore. U.K and Germany had lower duration - I remembered the admonition to use the higher duration only, but didn’t know what to do if I encountered lower duration/higher yield spread case. And I was too tired to think through at that point. Both Schweser and CFAI specifically state use the higher duration - i just didn’t think about it and paid for it.
i’m fairly sure you didn’t have to do the second calculation for the first question. i too had time issues with the first session. I know i missed a couple of questions because i didn’t read the questions fully because i was short on time. the pm seemed very very easy. almost so easy i wonder if i was missing something.
yes, you had to do a FV calculation.
Morning paper was quite a lot…not many people finished (though I know at least one did). - dropped the 14 minute performance evaluation completely - should’ve wrapped up 3© (the 4 minute calculation question about P/E and specific estimation) - didn’t practice Qs on global performance evaluation (last question)
oskigo Wrote: ------------------------------------------------------- > i’m fairly sure you didn’t have to do the second > calculation for the first question. > I am absolutely sure we had to.
Maybe it’s because it’s my first time taking 3 but I found the answer book very confusing too. I thought there were 10 questions and located the 11th with minutes to spare…then went into a panic wondering if there was a 12th question until I saw the words extra pages…things don’t seem well marked…
for breakeven spread, you would have to compare both the spread and largest duration of the 2 being compared. That is, calculate 4 breakeven spreads given the 2 inputs and find the largest…
CFAAtlanta Wrote: ------------------------------------------------------- > > I am absolutely sure we had to. why the question specifically asked for the required return for NEXT YEAR no? if i read it right you absolutely did not have to.
due to my brain overheating at the time, I can’t remember if I did question 11 or not. What was the question about?
was a easy future Qs, hedged return v.s. unhedged return… thanks god I did first!
ryanunsw Wrote: ------------------------------------------------------- > was a easy future Qs, hedged return v.s. unhedged > return… thanks god I did first! 2 exactly the same in cfa book, too bad i was running low on time and had to rush through it… Hoping for partial credit…