So, for instance in credit default swaps - the LOS is filled with describe and explain; but no calculate. So, can we trust there won’t be a vignette centred around CDS valuation calculations? Or, considering valuation techniques are part of the text; should we be able to get into the nitty gritty of CDS valuation?
Yes, I think we can trust the LOS. If we couldn’t, we would all go completely crazy around that curriculum
And CDS is not big enough a topic for a whole vignette IMO. Most likely it will feature between 1-3 questions in a Derivatives vignette that has swaps, options or futures questions as well.