Chris Brooks - Chapter 12 or 13? typo?

[puneet_]

Hi, as per learning objective on GARP site, it says Chapter 13 of Brooks and BT says Chapter 12. is it just typo?

Chapter 13. Simulation Methods [QA-15]


After completing this reading you should be able to:

• Describe the basic steps to conduct a Monte Carlo simulation.

• Describe ways to reduce Monte Carlo sampling error.

• Explain how to use antithetic variate technique to reduce Monte Carlo sampling error.

• Explain how to use control variates to reduce Monte Carlo sampling error and when it is effective.

• Describe the benefits of reusing sets of random number draws across Monte Carlo experiments and how to reuse

them.

• Describe the bootstrapping method and its advantage over Monte Carlo simulation.

• Describe the pseudo-random number generation method and how a good simulation design alleviates the effects

the choice of the seed has on the properties of the generated series.

• Describe situations where the bootstrapping method is ineffective.

• Describe disadvantages of the simulation approach to financial problem solving.

 

[jairamjana]

Ch 12 of Brooks is about limited dependent variables.. Ch 13 is simulation methods.. Till 2015 pachamanova dealt with this topic and that was still just chapter 4 titled simulation modelling..
So if Bt says ch 12 then you are right.. It's BT's typo..
And the learning objectives are correct.. After these 9 LO are covered Brooks uses Eviews based examples which are out of scope for an FRM candidate..
Only ch 12 is the typo .. Nicely crossed referenced there @puneet_

P.S. Use the topic pinned Errors found in Quantiative Analysis for reporting errors..

 

[Nicole Seaman]

Hello @puneet_

Yes, this is a typo. Thank you for pointing this out. I will get that fixed as soon as possible. @jairamjana thank you for your response. Remember that the pinned Error threads are for study notes only. Practice questions have their own links on the forum, which are published directly in the pdf document.

Thank you,

Nicole

 

[jairamjana]

I see.. I was going through brooks mat so I replied..

 

[LOL]

Hello Admin,
Do you know when Chris Brooks Ch 13 Simulation methods Study notes will be available?

 

[Nicole Seaman]

Hello @LOL

This set of notes is currently in the review process and will be published as soon as possible, along with other study materials that are currently being prepared and reviewed for publishing. If you have not already, please also make sure to read our announcement HERE in the forum regarding our publishing process.

Thank you,

Nicole