Although there is a Topic Area Weights guide from the CFAI for L3 I can’t find anything that categorises study sessions into each area. Is it of any use to try and understand which study sessions are more important in L3 given that a question can mix them up? I have guessed the categorisation below…any body know any better? http://www.cfainstitute.org/cfaprog/courseofstudy/topicareaweights.html Ethical and Professional Standards 10% Study Session 1. Code of Ethics and Professional Standards Study Session 2. Ethical and Professional Standards in Practice Equity Investments 5 - 15% Study Session 11. Equity Portfolio Management Study Session 12. Equity Portfolio Management Fixed Income 10 - 20% Study Session 9. Management of Passive and Active Fixed Income Portfolios Study Session 10. Portfolio Management of Global Bonds and Fixed Income Derivatives Derivatives 5 - 15% Study Session 15. Risk Management Application of Derivatives Alternative Investments 5 - 15 % Study Session 13. Alternative Investments for Portfolio Management Portfolio Management and Wealth Planning 45 - 55 % Study Session 3. Behavioral Finance Study Session 4. Private Wealth Management Study Session 5. Portfolio Management for Institutional Investors Study Session 6. Capital Market Expectations in Portfolio Management Study Session 7.Economic Concepts for Asset Valuation in Portfolio Management Study Session 8. Asset Allocation Study Session 14. Risk Management Study Session 16. Execution of Portfolio Decisions; Monitoring and Rebalancing Study Session 17. Performance Evaluation and Attribution Study Session 18. Global Investment Performance Standards
Isn’t GIPS (SS18) should be a part of Ethics?
Nope, its treated as part of PM when they market the exams.
Unfortunately, level 3 is where I found the topic area weights least useful, because it is the only level where “compound” questions are asked. A “compound” question (my own definition) is one that combines multiple topic areas and tests your ability to synthesize the information. So even if you pwn equities, there may be an equities question that combines principles from derivatives or economics…in that case, topic area weight won’t matter…you’re basically screwed. The takeaway message here is that learn everything. In level 2, I focused mainly on the big chunks…equities, FSA, asset valuation, fixed income, and ethics…in level 3, know bits of everything.
Learn everything, or else become fodder for the rest of us that do.
OK thanks, I thought as much! Just thought there might be an area (e.g. IPS / Behavioural Finance) where you have to be a real stickler for the detail as compared to other areas?