A quick and practical (and free) resource, in case you need it. A quick and practical (and free) resource, in case you need to consume a lot of formulas over the weekend. You can find the formula sheet here. Most consider the CFA Level II exam to be the most difficult of the three exams.
While the first exam was largely conceptual and tested basic understanding of a wide range of information, the second exam covers that same wide range, but evaluates detailed concepts and the interpretation of data. In addition to this, the exam requires a large number of formulas. You'll be responsible for calculating the two- and three-part formulas in nearly every study session. Although the CFA Institute does not publish what the approved score is for each year, it has said that no score of 70% or more has failed the exam.
Alternative investments are slightly more important in second and third level exams than in first level exams, but they are still of secondary importance in general. The CFA Level II exam consists of a set of 20 questions, each with six independent multiple-choice questions, which must be answered based on the information contained in a bullet that is approximately one page long. Thanks to the time I spent studying for the other two exams, I was able to reduce the time I spent studying the ethics part of level III just by reviewing the new material. If at the first level you acquired a good knowledge base about the three financial statements, the second exam consists only of detailing the accounts and valuations separately.
Here you'll be faced with some pretty extensive pricing formulas and you'll see between one and three sets of items in the exam. Here we will discuss the strategies and tips specific to the CFA Level I exam and include the broader suggestions for a future post. You have thousands of pages and hundreds of formulas from the Level I CFA program before you, and they can seem overwhelming. The FCFF is the cash flow from operations after capital expenditures that is available for both levels of ownership (debt and equity).).
While formulas are crucial in the CFA level 2 exam and its quantitative approach, the formulas of the first exam have much more to do with learning relationships and the process. The CAPM has many flaws and is most used in the academic environment, but it is still a very useful formula and will appear on all CFA exams. Financial reporting and analysis are, with fairness, the two “main” subject areas for the Level II exam. While you can't afford to neglect any of the study areas in the Level II curriculum, there are some that you can spend more or less time on. I thought about covering some of the most important CFA Level 1 formulas and how to approach the mountain of equations.
As with all levels of the CFA, there are a total of 360 possible points, so each set of objects is worth five percent of the total points. When comparing the weighting of the subjects for the CFA Institute Level II exam and Level I exam, there are a couple of things you should have take into account.
