Net payment cost index and net surrender cost index

CFA Level III Portfolio Management
#1

Shall I bother with these?

I have them in my notes, once I knew them, but I’m exhausted.

#2

My money on not critical.

#3

I just brushed up on the definition of them a couple hours ago. Hopefully the calculations aren’t necessary? I forgot how to set my calculator to BGN mode already lol.

#4

i suggest you bring 2 calculators, one set in BGN mode.

Its like Thor wielding Mjolnir and Storm Breaker at the same time.

And when this question appear on exam this saturday, imagine your self surrounding by thunder aura and whisper within your heart : "Let’s kill him properly this time"

#5

I think they’re so straight-forward that if you go through the calculations for like 5min, you’re sure to internalize it. It’s basically just calculating FV of the ‘‘premium leg’’ and the ‘‘dividend leg’’. The probability of them being in the exam is small but it would suck to lose points on a relatively simple question like that.