I wanted to know what you guys think on whether it is worth it to memorize the following formulas which i consider questionable: 1. t-calc for testing significance of corr coef 2. adjusted r-squared 3. weight of active portfolio in optimal portfolio (Treynor Black) 4. Justified p/cf and div/p 5. franchise factor and growth factor 6. sinking fund factor (band of investment) 7. treasury bond contract price That’s all i could think of for now, feel free to list more

Forget 2 and 7, everything else you better know

Doesn’t it say in the reading specifically that we don’t need to know #3?

I think we just need to understand the concepts of treynor black, and essentially how the calculation works, but I think it is a ‘discuss’ LOS vs. a ‘calculate’ LOS.

sbmarti2 Wrote: ------------------------------------------------------- > I think we just need to understand the concepts of > treynor black, and essentially how the calculation > works, but I think it is a ‘discuss’ LOS vs. a > ‘calculate’ LOS. That is what I thought but the Schweser test books are pretty deep in that stuff. I think 1 is questionable, yes for 4,5,6 I already understand it but please explain to me how you can read a page or 2 and then do the calculation of a: Standard Deviation of a 3 asset portfolio, in enough time. It takes me almost 2 minutes to write the whole thing out and figure out where I’m going to save all that data on my calculator. Of course they will never give the Covariance they will always give the Std Deviations and the r so yo have to add 3 more things to put in on 3 parts that is 9 more chances to screw up in yor calculator.