Tentamen (uitwerkingen)

CFA FINAL EXAMS 2022 QUESTIONS WITH ANSWERS(ACTUAL TEST)

0 keer verkocht

Instelling
CFA (CFA)

[Meer zien]

Voorbeeld 4 van de 80 pagina's

Bekijk voorbeeld

Geupload op 9 juni 2022
Aantal pagina's 80
Geschreven in 2021/2022
Type Tentamen (uitwerkingen)
Bevat Vragen en antwoorden

cfa final exams 2022
cfa

Volgen

HIGHFLYER Lid sinds 3 jaar 280 documenten verkocht

€17,22

In winkelwagen

Opslaan

100% tevredenheidsgarantie
Direct beschikbaar na je betaling
Lees online óf als PDF
Geen vaste maandelijkse kosten

CFA FINAL EXAMS 2022
GIPS ANS: 0. Fundamentals of compliance
1. Input data
2. Calculation methodology
3. Composite construction
4. Disclosures
5. Presentation and reporting
6. Real estate
7. Private equity
8. Wrap fee/Separately Managed Account (SMA) Portfolio

Money-weighted return of IRR ANS: calculated using periodic cash flows into and out of an account and
is the discount rate that makes the PV of cash inflows equal to the PV of cash outflows

time-weighted rate of return ANS: - measures compound growth; rate at which $1 compounds over a
specified time horizon
- if funds are added to a portfolio just before a period of poor performance, the money-weighted return
will be lower than the time-weighted return
- if funds are added just prior to a period of high return, the money-weighted return will be higher than
time
- the time-weighted return is the preferred measure of a manager's ability to select investments. if the
manager controls the money flows into and out of an account, the money-weighted return is the more
appropriate performance measure.

Descriptive Statistics ANS: summarize the characteristics of a data set

Inferential Statistics ANS: used to make probabilistic statements about a population based on a sample

Scales ANS: Nominal scale: data is put into categories that have no particular order
Ordinal scale: data is put into categories that can be ordered with respect to some characteristic.
Interval scale: differences in data values are meaningful, but ratios, such as twice as much or twice as
large, are not meaningful.
Ratio scale: ratios of values, such as twice as much or half as large, are meaningful, and zero represents
the complete absence of the characteristic being measured.

Parameter ANS: any measurable characteristic of a population

Relative frequency ANS: the percentage of total observations falling within an interval

Cumulative relative frequency ANS: for an interval, is the sum of the relative frequencies for all values
less than or equal to that interval's maximum value

Histogram ANS: -bar chart of data that has been grouped into a frequency distribution
-a frequency polygon plots the midpoint of each interval on the horizontal axis and the absolute
frequency for that interval on the vertical axis, and connects the midpoints with straight lines

,-the advantage of histograms and frequency polygons is that we can quickly see where most
observations lie

geometric mean ANS: used to find a compound growth rate

harmonic mean ANS: used to find an average purchase price, such as dollars per share for equal
periodic investments

Chebyshev's inequality ANS: -states that the proportion of the observations within k standard
deviations of the mean is at least 1-1/k^2 for all k>1
-states that for any distribution, at least:
36% of observations lie within 1.25 sd of mean
56% of observations lie within 1.5 sd of mean
75% of observations lie within 2 sd of mean
89% of observations lie within 3 sd of mean
94% of observations lie within 4 sd of mean

coefficient of variation (CV) ANS: CV=s/x
ratio of the standard deviation of the sample to its mean (expected value of the underlying distribution)

Kurtosis ANS: -measures the peakedness of a distribution and the probability of extreme outcomes
(thickness of tails)
-excess kurtosis is measured relative to a normal distribution, which as a kurtosis of 3
-positive values of excess kurtosis indicate a distribution that is leptokurtic (fat tails, more peaked) so
that the probability of extreme outcomes is greater than for a normal distribution
-negative values of excess kurtosis indicate a platykurtic distribution (thin tails, less peaked)
-excess kurtosis with an absolute value greater than 1 is considered significant

arithmetic mean vs geometric ANS: the arithmetic mean return is appropriate for forecasting single
period returns in future periods, while the geometric mean is appropriate for forecasting future
compound returns over multiple periods

two properties of probability ANS: 1. the sum of the probabilities of all possible mutually exclusive
events is 1
2. the probability of any event cannot be greater than 1 or less than 0

types of probability ANS: A priori probability measured predetermined probabilities based on well-
defined inputs; empirical probability from observations or experiments; and subjective probability is an
informed guess

probability distribution ANS: lists all the possible outcomes of an experiment, along with their
associated probabilities

discrete random variable ANS: positive probabilities associated with a finite number of outcomes

continuous random variable ANS: positive probabilities associated with a range of outcome values - the
probability of any single value is zero

,set of possible outcomes ANS: The set of possible outcomes of a specific discrete random variable is a
finite set of values. An example is the number of days last week on which the value of a particular
portfolio increased. For a discrete distribution, p(x)=0 when x cannot occur, or p(x)>0 if it can.

cumulative distribution function (cdf) ANS: cdf gives the probability that a random variable will be less
than or equal to specific values
the cdf for a random variable X may be expressed as F(X)=P(X<=x)
given the cdf for a random variable, the probability that an outcome will be less than or equal to a
specific value is represented by the area under the probability distribution to the left of that value

discrete uniform distribution ANS: one where there are n discrete, equally likely outcomes

the probability for each outcome = 1/n

binomial distribution ANS: probability distribution for a binomial (discrete) random variable that has
two possible outcomes

tracking error ANS: total return on portfolio minus the total return on a benchmark or index portfolio

continuous uniform distribution ANS: one where the probability of X occurring in a possible range is the
length of the range relative to the total of all possible values

the normal probability distribution and normal curve have the following characteristics: ANS: - the
normal curve is symmetrical and bell-shaped with a single peak at the exact center of the distribution
- mean = median = mode, and all are in the exact center of the distribution
- the normal distribution can be completely defined by its mean and standard deviation because the
skew is always zero and kurtosis is always 3

multivariate distributions ANS: describe the probabilities for more than one random variable, whereas a
univariate distribution is for a single random variable

the correlations of a multivariate distribution describe the relation between the outcomes of its
variables relative to their expected values

confidence interval ANS: -is a range within which we have a given level of confidence of finding a point
estimate
-90% is 1.65, 95% is 1.96, 99% is 2.58
-the probability that a normally distributed random variable X will be within A standard deviations of its
mean, may be calculated as F(A)-F(-A), where F(A) is the cumulative standard normal probability of A, or
as 1-2[F(-A)]

standard normal probability distribution ANS: has a mean of 0 and a standard deviation of 1

shortfall risk ANS: is the probability that a portfolio's value (or return) will fall below a specific value
over a given period of time. Greater safety-first ratios are preferred and indicate a smaller shortfall
probability. Roy's safety-first criterion states that the optimal portfolio minimizes shortfall risk

, If x is normally distribution, ANS: e^x follows a lognormal distribution. A lognormal distribution is often
used to model asset prices, since a lognormal random variable cannot be negative and can take on any
positive value.

As we decrease the length of discrete compounding periods... ANS: (e.g., from quarterly to monthly) the
effective annual rate increases. As the length of the compounding period in discrete compounding gets
shorter and shorter, the compounding becomes continuous, where the EAR = e^i - 1

for a HPR over any period, the equivalent continuously compounded rate over the period is ln(1+HPR)

Monte Carlo simulation ANS: uses randomly generated values for risk factors, based on their assumed
distributions, to produce a distribution of possible security values. Its limitations are that it is fairly
complex and will provide answers that are no better than the assumptions used.

historical simulation ANS: uses randomly selected past changes in risk factors to generate a distribution
of possible security values, in contrast to Monte Carlo simulation, which uses randomly generated
values. A limitation of historical simulation is that it cannot consider the effects of significant events that
did not occur in the sample period.

simple random sampling ANS: is a method of selecting a sample in such a way that each item or person
in the population being studied has the same probability of being included in the sample

sampling distribution ANS: is the distribution of all values that a sample statistic can take on when
computed from samples of identical size randomly drawn from the same population

sampling error ANS: is the difference between a sample statistic and its corresponding population
parameter (e.g., the sample mean minus the population mean)

stratified random sampling ANS: involves randomly selecting samples proportionally from subgroups
that are formed based on one or more distinguishing characteristics, so that the sample will have the
same distribution of these characteristics as the overall population

time-series data ANS: consists of observations taken at specific and equally spaced points in time

cross-sectional data ANS: consists of observations taken at a single point in time

central limit theorem ANS: states that for a population with a mean and a finite variance, the sampling
distribution of the sample mean of all possible samples of size n (n>30) will be approximately normally
distributed with a mean equal to mu and a variance equal to sd/n

standard error ANS: standard error the sample mean is the standard deviation of the distribution of the
sample means

desirable statistical properties of an estimator ANS: unbiasedness (sign of estimation error is random),
efficiency (lower sampling error than any other unbiased estimator), and consistency (variance of
sampling error decreases with sample size)

point estimates ANS: single value estimates of population parameters

Dit zijn jouw voordelen als je samenvattingen koopt bij Stuvia:

Bewezen kwaliteit door reviews

Studenten hebben al meer dan 850.000 samenvattingen beoordeeld. Zo weet jij zeker dat je de beste keuze maakt!

In een paar klikken geregeld

Geen gedoe — betaal gewoon eenmalig met iDeal, creditcard of je Stuvia-tegoed en je bent klaar. Geen abonnement nodig.

Direct to-the-point

Studenten maken samenvattingen voor studenten. Dat betekent: actuele inhoud waar jij écht wat aan hebt. Geen overbodige details!

Veelgestelde vragen

Wat krijg ik als ik dit document koop?

Je krijgt een PDF, die direct beschikbaar is na je aankoop. Het gekochte document is altijd, overal en oneindig toegankelijk via je profiel.

Tevredenheidsgarantie: hoe werkt dat?

Onze tevredenheidsgarantie zorgt ervoor dat je altijd een studiedocument vindt dat goed bij je past. Je vult een formulier in en onze klantenservice regelt de rest.

Van wie koop ik deze samenvatting?

Stuvia is een marktplaats, je koop dit document dus niet van ons, maar van verkoper HIGHFLYER. Stuvia faciliteert de betaling aan de verkoper.

Zit ik meteen vast aan een abonnement?

Nee, je koopt alleen deze samenvatting voor €17,22. Je zit daarna nergens aan vast.

Is Stuvia te vertrouwen?

4,6 sterren op Google & Trustpilot (+1000 reviews)

Afgelopen 30 dagen zijn er 71241 samenvattingen verkocht

Opgericht in 2010, al 15 jaar dé plek om samenvattingen te kopen

Begin nu gratis

Tentamen (uitwerkingen)

CFA FINAL EXAMS 2022 QUESTIONS WITH ANSWERS(ACTUAL TEST)

Document informatie

Onderwerpen

Geschreven voor

Verkoper

Ontvangen beoordelingen

Voorbeeld van de inhoud