Howdy, Stranger!

It looks like you're new here. If you want to get involved, click one of these buttons!

CFA Events Calendar

View full calendar

Recommended Discussions

See how our partners can help you ace your CFA exams.

CFA Level II Topic Picks

ZeeZee London - UKPosts: 1,531 Jr Partner
edited January 2014 in CFA Level II
This is an evolving post of useful CFA topics discussions for Level II. As new and awesome discussions are created, I will be continually adding them here to create a quick reference guide for Level II members to dive straight in!
Topic AreaTopicDescription
General360 Days vs 365 Days@vincentt wonders when do we use one over the other for calculations.
GeneralHow Long is a Vignette?Level II introduces you to vignette-style questions. How do you approach them? @vincentt finds out.
GeneralIs Level 1 testable in Level 2?@fabian wonders if ghosts of Level 1 will haunt him in Level 2.
GeneralLevel II CFA Topic Weighting@shantala goes through the topic weighting information and @christine weighs in too.
Alt InvestmentsPE Financing - Valuing Multiple Financing RoundsEasily confused by multiple financing rounds? @vincentt clears the confusion.
Alt InvestmentsPrivate Real Estate - Cost Approach (why no adjustment?)@Alta12 goes through a real estate question.
Corp FinanceGreenmail - Why Does It Make Sense?@fabian wonders how does greenmail actually work, and we dive into a real-life example.
Corp FinanceSalvage value and TNOCF@Alta12 questions why salvage value of old equipment was not taken into account in TNOCF.
Corp FinanceShares vs. Cash offer in M&A@Alta12 discusses the value of shares post acquisition between a cash and a share offer.
Derivatives[Currency Swaps] What is the standard mark-to-market period?@vincentt wonders if there is a standard mark to market, and what is it.
DerivativesBuying a forward rate@vincentt recaps on what 'buying a forward rate' really means.
DerivativesConfused with putable bond OAS vs option free bond@Alta12 goes through the differences.
DerivativesCurrency Swaps@ryshi walks through the process of a currency swap.
DerivativesEquity Swap Valuations@Diya discusses a Level II Equity Swap question.
DerivativesHedging via Futures Contracts@vincentt discusses an example question with futures contract hedging and how it affects income reporting.
DerivativesHELP PLEASE....... Currency Brain ache@cs_1988 goes through a FX rate question.
DerivativesOption Arbitrage Pricing@Alta12 wonders when a put option is overpriced in the market, why do you sell the put and SELL shares?
DerivativesPut-Call Parity for Forwards - help please@MM12 investigates put-call parity for forwards.
DerivativesQuestion: OASs and all that stuff@vincentt runs through a question about OAS.
DerivativesTheta in a option.@vincentt asks 'why would a deeply-in-the-money call/put option losses its value as time theta is reaching 0?'
DerivativesUnderstanding and Valuing FRAs@fabian clarifies the unique notation of FRAs and discusses clear methods of valuation.
EconomicsA doubt in economics (FX markets) - L2@Knath87 clears the air on FX relationships between countries.
EconomicsCapital Deepening?@vincentt asks 'What's the formula for capital deepening?'
EconomicsConfusing Mundell-Fleming Model@vincentt investigates the Mundell Fleming model.
EconomicsDornbusch Overshooting ModelWhat is it? @Franz finds out.
EconomicsFX Rates Arbitrage Calculations@vincentt learns an easy rule of thumb to figure these questions out.
EconomicsThe International Parity Relationship Combined@diya wonders - how does all the currency relationships combine and what do they mean?
EquityAdjusted CFO@vincentt discusses after tax interest expense adjustments to cash flow calculations.
EquityCapitalizing Interest Expenses@vincentt discusses capitalized interest expenses, and how to treat cash flows for capitalized expenses in reporting.
EquityDeferred Taxes in FCFF@vincentt investigates how deferred taxes are treated in FCFF calculations.
EquityFactors Affecting FCFF@vincentt reviews how various income statement items can affect Free Cash Flow to the Firm.
EquityFCFE Valuation@Dollarstodonuts asks about the various FCFE formulae.
EquityHistorical and Actual Equity Risk Premium@ykilstein investigates the differences between historical and actual equity risk premium.
EquityJustified Trailing and Leading P/E@diya explores the role of P/E comparables method in company valuation.
EquityShare Repurchase Impact on Financial Leverage@STP looks at share repurchases and its effect on a company's leverage.
EquityTerminal Value for a Multistage Residual Income Model@Vincentt wonders why there are no specific terminal value number in the multistage residual income model.
Fixed IncomeAsset Backed Sector of the Bond Market@diya asks - why do asset-backed securities generally require overcollateralization compared to mortgage-backed securities?
Fixed IncomeCovered Interest Rate Parity Question@GraemeA goes through a covered interest rate parity question.
Fixed IncomeHow to Calculate Cash Flow Yield from an MBS@vincentt finds out how to properly calculate monthly cash flow yields from MBS instruments, and how to treat future value and payments.
Fixed IncomeInterest Rate effect I.O. & P.O.For principle-only and interest-only MBS, why do they have +ve and -ve durations respectively? @ykilstein finds out.
Fixed IncomeNotching & Structural Subordination@Diya dives deeper into the concepts of notching and structural subordination.
Fixed IncomeOption Adjusted Spread@alta12 discovers how tricky the questions can get as option added spread isn't a method itself. Not the option adjusted spread we know!
Fixed IncomePassthrough vs PaythroughThey seem to be used interchangably, but @vincentt wonders if there is a difference...
Fixed IncomeReal, Nominal and Inflation Rates - Add or Multiply?@vincentt wonders whether to add or multiply real and inflation rates to get the nominal interest rate.
Fixed IncomeUnder what circumstances would the effective collar of PAC tranches widen?@E92M3 looks at PAC tranches.
FRAAre "purchases" Under Balance Sheet or Income Statement?@vincentt thinks about COGS and Inventory in financial reporting.
FRACalculation for change in working capital investment@Shantala walks through the calculations involved for a change in working capital investment.
FRAFRA - Integration of Financial Statement Analysis Techniques (Reading 24 p403) - EOC Q19@Alta12 wonders why net income is used in the P/E denominator rather than earnings before tax.
FRAImpairment Effects on the Income Statement@tim investigates what are the full effects of impairment on the income statement and future revenue.
FRAIntercorporate Investments Cheat Sheet@shantala wants to get all intercorporate investment treatments sorted out, and @christine answers.
FRALIFO and Cash Flow@diya goes through the relationships between LIFO/FIFO accounting and cash flow.
FRARestricted vs Unrestricted Subsidiaries@vincentt investigates what are these subsidiaries and how they are determined.
FRAROE/ROA after asset impairments@Spiteri87 looks at the effects of asset impairments on ROE and ROA.
FRATemporal Method@vincentt goes through in detail what FX rates apply to which items in the income statement.
Portfolio MgmtTreynor Black Model: Leveraging Funds@vincentt finds out why leveraging to increase returns does not necessarily impact portfolio composition.
Portfolio MgmtTreynor-Black - to Memorize or not to Memorize?@ykilstein wonders as the LOS and sample questions seem to contradict...
Homer: He might have all the money in the world, but there’s one thing he can’t buy. Marge: What’s that? Homer: .......A dinosaur The Simpsons


Sign In or Register to comment.