testable concepts for exam

[fam_]

Hi - David,
For me this section is going to be my weakest and I want to maximise my time on the concepts that have the greatest odds for being tested in the exam.

your video makes helpful points on the testability of various concepts. could you set out which concepts and ideas have high probaility of being tested where calculations will be required and formulas need to be memorised

any advice appreciated

 

[David Harper CFA FRM]

Hi fam,

Yes, I think it's a good idea. If you give me a few days (b/c I need to finish the updated L2 formula sheets), I will outline my view (opinion) on priorities, and then attach that as a one-page outline to the front of the Quant formula sheet. So, next week sometime .... in the meantime, the verbs in the AIMs can be used for guidance. Specifically, GARP has gotten much better about using "calculate" when you can expect the formula, and more specifically, I notice they have deliberately removed some "calculate" verbs; e.g.,

Chapter 7: Describe forecasting, or prediction, error.

This previously was a calculate but with very little chance of testability due to difficult formula. Now it's describe and the formula can be ignored. Another example, they "softened:"

AIM: Describe and interpret the Jarque-Bera test of normality.

... from a previous "calculate" and, while memorization of JB cannot hurt, I consequently (lacking the "calculate") would not put it on the short list of priorities

Contrast this with:
"Define, calculate and interpret the standard errors in an OLS model."
... where the calculate is consistent with the fact we know this is highly testable

but i will follow up on this, thanks for helpful suggestion. David

 

[David Harper CFA FRM]

Hi fam,
I haven't gotten to your request above, apologies. I still think it's a great idea, but now the upcoming webinar needs to take priority. I will definitely incorporate in the next revision of notes (that doesn't help you, I know)....If i get the time, I will come back here and give bullets if possible, but please don't expect.

Thanks for your understanding,
David