I am having a hard time revising the derivatives material. I first read it a month back, but now trying to revise it and it is getting me all confused. I understood forward contracts well, futures is confusing specially the t-bond part. I havent laid my hands on options and swaps … How are you guys reading this section, any suggestions? Schweser or CFAI text? How many vignettes are expected out of derivatives material?
From what I heard from someone, there were 3 vignettes once. So you got to be clear on derivatives for sure!
Quite honestly, of the 67 [68?] readings, the ONLY ONE that I abandoned after two reads as “too difficult right now” was swaps/swaptions. I intend to come back to it after some more review and try to nail it down, but if it makes you feel better, I’m studying with three other people who agree that swaps/derivatives are pretty damned difficult.
They are difficult. Do CFAI text for that. To get a better understanding of them.