YouTube T1-3 How to translate volatility over time

[Nicole Seaman]

We typically scale volatility with the square root rule, but keep in mind the key assumption (i.i.d. returns). We APOLOGIZE that the bottom-right corner is obstructed by the web camera. It contains Expected return = +10.0% such that the Absolute VaR = -10%*10/250 + 2.326*20%*sqrt(10/250); i.e., the drift scales linearly.

Here is David's XLS: http://trtl.bz/2wJaJEf

 

[diegowillian]

Hi Nicole, how are you?

I have one question, how can I calculate volatility only when prices up and when prices down, can you help me?

Tks a lot.

 

[David Harper CFA FRM]

Do you have a numerical examples of "prices up" and "prices down"?

 

[coffee_achiever]

I'm going through the Study Planner, and it feels a little strange going from the very high level "Building Blocks of Risk Management" from the study notes to nitty gritty details of vol scaling. Seems a little discontinuous since we haven't really looked at risk factors in detail yet.

@Nicole Seaman - The link to the spreadsheet that you posted is no longer functional. How do I download the xls file?

 

[Nicole Seaman]

I'm going through the Study Planner, and it feels a little strange going from the very high level "Building Blocks of Risk Management" from the study notes to nitty gritty details of vol scaling. Seems a little discontinuous since we haven't really looked at risk factors in detail yet.

@Nicole Seaman - The link to the spreadsheet that you posted is no longer functional. How do I download the xls file?

@coffee_achiever This is the YouTube section of the forum, which is free for everyone and doesn't follow a specific order, but our study planner follows the exact order of the GARP FRM curriculum. We provide a link to our YouTube videos in the Study Planner for additional reference.

Regarding the XLS links, we no longer use Dropbox, so many links in the forum are "broken" until we are able to create new links. We do not have a way to fix all of them at the same time, so we need to fix them as we find them. Our forum contains posts dating back to 2008, so there are many links to update. We will get these links updated as soon as possible, but our paid study materials must take priority.

All of the XLS files that correspond to our paid study materials (not free videos) are located in the Study Planner for those who have purchased the Mastery Series. The XLS are organized in the study planner under their corresponding chapter. Thank you.

 

[coffee_achiever]

@Nicole Seaman

I'm relieved to hear that paid study materials take precedence, but I'm a little worried that the over $900 that I paid might not be enough to make me eligible for the spreadsheets. If not, how much extra do you charge for the spreadsheets?

Please see attachment Bionic Turtle Study Planner 01. As you can see, I finished two sections: Interactive Practice Question Platform Tutorial, and Introduction to Foundations of Risk Management. The next topic -- the one I'm working on -- is Chapter 1: The Building Blocks of Risk Management, and it has 3 topics. I'm working on the first topic, "Study Notes: The Building Blocks of Risk Management".

Please see attachment Bionic Turtle Study Planner 02 which shows the parts of the first topic, "Study Notes: The Building Blocks of Risk Management". As you can see, I have completed "View Study Notes", and I'm now moving on to the next thing to do, "Take a look at our Foundations of Risk YouTube Videos". When I click on that link, it takes me to YouTube.

Please see attachment Bionic Turtle Study Planner 03 which shows what I see when I click on the link "Take a look at our Foundations of Risk YouTube Videos".

I'm usually pretty observant, but I don't see this:

All of the XLS files that correspond to our paid study materials (not free videos) are located in the Study Planner for those who have purchased the Mastery Series.

I'm pretty sure the $900 that I paid was for the Mastery Series, yet I don't see the materials in the study planner. I'm sure it's there and I'm just not seeing it. I've attached screenshots of exactly what I see on your study planner. Can you please help me by telling me where?

 

[Nicole Seaman]

@Nicole Seaman

I'm relieved to hear that paid study materials take precedence, but I'm a little worried that the over $900 that I paid might not be enough to make me eligible for the spreadsheets. If not, how much extra do you charge for the spreadsheets?

Please see attachment Bionic Turtle Study Planner 01. As you can see, I finished two sections: Interactive Practice Question Platform Tutorial, and Introduction to Foundations of Risk Management. The next topic -- the one I'm working on -- is Chapter 1: The Building Blocks of Risk Management, and it has 3 topics. I'm working on the first topic, "Study Notes: The Building Blocks of Risk Management".

Please see attachment Bionic Turtle Study Planner 02 which shows the parts of the first topic, "Study Notes: The Building Blocks of Risk Management". As you can see, I have completed "View Study Notes", and I'm now moving on to the next thing to do, "Take a look at our Foundations of Risk YouTube Videos". When I click on that link, it takes me to YouTube.

Please see attachment Bionic Turtle Study Planner 03 which shows what I see when I click on the link "Take a look at our Foundations of Risk YouTube Videos".

I'm usually pretty observant, but I don't see this:



I'm pretty sure the $900 that I paid was for the Mastery Series, yet I don't see the materials in the study planner. I'm sure it's there and I'm just not seeing it. I've attached screenshots of exactly what I see on your study planner. Can you please help me by telling me where?

@coffee_achiever The XLS that correspond with the study materials are included in the Mastery Series, so you should have access to all of the published paid XLS. It is important to understand that not all chapters will include an XLS because not all chapters have calculations. Please make sure to read our publishing process, which provides detailed information about why some materials may not show in the study planner.

Have you looked at any other chapters to make sure you have access to the XLS? Please browse through your study planner to make sure that you see Learning Spreadsheets in other chapters. Building blocks is an introductory chapter that doesn't require calculations, so you won't see a spreadsheet there. Please let me know if you do not see them in other chapters, but looking at your account, I see that your permissions are all set up correctly.



Regarding the YouTube links at the bottom of the study planner, they are not part of the course. They are simply added as a link below the course materials (Study Notes, Practice Questions, Instructional Videos) as additional free materials that are available. It is an optional resource. We provided a link in case our customers weren't aware we had a YouTube channel. The only course materials are the Study Notes, Practice Questions, Instructional Videos, Learning Spreadsheets, etc.

 

[coffee_achiever]

Oh, I think I see. In other words, the link that I see to the YouTube channel is just kind of a "preview" of things to come? The videos should not be considered a part of the Study Planner that I'm currently working on, right? They'll show up later in the study planner along with a link to the xls files.

Is that pretty much what's happening?

 

[Nicole Seaman]

Oh, I think I see. In other words, the link that I see to the YouTube channel is just kind of a "preview" of things to come? The videos should not be considered a part of the Study Planner that I'm currently working on, right? They'll show up later in the study planner along with a link to the xls files.

Is that pretty much what's happening?

@coffee_achiever The YouTube videos have nothing to do with the paid materials. There is no preview of things to come. The videos included in the paid course are the Instructional Videos shown in your study planner, along with the Study Notes, Practice Question Sets, and Learning Spreadsheets.

The YouTube videos are for anyone on the internet to view. The only reason we have the link in the study planner is for additional (optional) resources. We have not posted new YouTube videos in many years. They are just part of our social media.

 

[coffee_achiever]

So I guess what you're saying is that the $900+ that I paid does not give me access to the (once free) Excel files associated with the YouTube videos that were posted?

And furthermore, you're also saying that you wouldn't even send me links, as a personal favor to a valued client, via direct message?

 

[Nicole Seaman]

@coffee_achiever To clarify, the $899 Mastery Series you purchased includes premium materials that are meticulously curated to provide you with a higher quality learning experience compared to our free YouTube videos. While our YouTube videos are a helpful resource, they are not part of our study packages, which means we focus on enhancing those premium materials our customers invest in. Your subscription offers access to high-quality Instructional Videos, Focus Review Videos, Excel spreadsheets, Study Notes, PQ Sets, an interactive PQ Bank, Mock Exams, and full forum support for any content-related inquiries.

Our priority must remain on delivering the materials that our customers have paid for. Updating these links is not a straightforward task; many of them are outdated, requiring us to locate the older files and upload them to a suitable platform for sharing new links in the forum. As a small team, we are committed to providing the highest quality materials for our FRM candidates, and we kindly ask for your patience as we focus on our primary responsibilities rather than on updating links for our free YouTube channel. When time permits, we will update those links.

For any additional questions or concerns, please contact customer support. Our forum is designated for content-related inquiries, and it is more beneficial for all parties if issues like this are addressed elsewhere. Members read through comments to find answers to their content questions, and we want to ensure that their reading experience is constructive for their studies. This conversation is currently more suited for customer support discussions. Thank you.