Investment & Risk Management

[EIA]

Hi David,

Trust you are fine. I appreciate the effort you are putting to satisfy us your clients.
But I have discovered that the difficulty in grabbing concepts in IM is lack of questions from some of the readings. For example Grinold 14 and 17 when it was there, Litterman and others.
Are you planning to give us questions from some of this books?

Best Regards

EIA

 

[David Harper CFA FRM]

Hi EIA,

Thank you, and for your politeness in what is a fair critique. T8 is currently under-represented: last year, I put more effort into T9. Although this was a judgement call that I still think was correct w.r.t. priorities: Grinold 17 was never a useful spend of energy on a complex topic; I am glad i didn't get sucked into, they rightly dropped it (i did input that). Litterman had low testability. The Jorion, in my estimation, remains the most relevant (testable).

But I still agree with you: and there are new readings by Stowell (from a book I think is excellent). So, the answer is: YES, I am planning to shore up T8, but I hadn't figured my next P2 step after counterparty credit (T6; ie., my current "location" w.r.t. P2 as can be inferred @ http://forum.bionicturtle.com/forums/todays-quiz.53/) ... maybe I will just share the new PQ plan in announcements, so the plan is visible ... but, please understand, that is not a promise on timing for fresh T8 questions. Thanks,

 

[EIA]

Hi David,

I trust your judgement and I also believe that you have so far done well in your judgement.

But like you will always say, you cannot know in certainty where GARP will set their question from.

Having said that, I believe strongly that what you cover is enough to pass and pass very well.

Take care

EIA

 

[David Harper CFA FRM]

Thanks, your point is important, especially w.r.t. T8 investment: for three reasons (recency, churn, and GARP methodology), the questions cannot be predicted with satisfaction. My judgement does NOT eliminate that fact. That is why I do agree with you. T8 is not where I think it should be, yet. Thanks,