CFA Results

[doug reich]

The level 1 results came out this morning at 9 am. I believe level 2 and 3 come out in 3 or so weeks.

How did anyone do?

I passed! Obligatory dancing banana: :dance:

I think I did worst on alternative investments I recall answering that hedge funds are not usually highly leveraged (it was the end of a long day when I answered that question...)

The level 1 passing rate was 35% for June 08. I recall reading that the long-term average passing rate for level 1 is 50%.

 

[dstefan]

Congratulations, Doug!!!! :band:

Oh, I almost forgot the mandatory... :dance:=))

 

[Uncle Max]

Congratulations!!!

How much time did you spend preparing for this exam?

 

[doug reich]

It varied: I started studying in earnest in late January with about 5 hours a week; I bumped it up after I got all my MFE apps in late February to more like 10 hours a week; I started doing 10-15 hours a week in early April. Based on that model.... it appears I would have done 150 hours, although I did a more than that in 2 weeks before the test.

When you register for the test, they send you post cards with things like "I have learned to sleep standing up" and "My golf game is suffering" to remind your friends that you're a masochist studying for the exam... it kind of felt like that.

 

[sameer]

Doug, nice work! Congrats.

 

[Dmytro]

during our last MTH9841 (when is the next one, btw??), Greg told us how to get ready for the exam in four days (mon-thu) and then pass it on Fri.
one constraint to that method that he forgot to mention was one must have Greg's IQ to use it successfully ;]

seriously though, congrats, Doug [obligatory round of drinks is on you ;]

 

[alain]

Greg was talking about the Series 7 Exam not the CFA.

Congratulations!!!

 

[Andy Nguyen]

Congrats, Dough.
I have a friend who took CFA L2 so he will find out in a few weeks. He locked himself in a room during the weekends to study for it.

 

[doug reich]

during our last MTH9841 (when is the next one, btw??), Greg told us how to get ready for the exam in four days (mon-thu) and then pass it on Fri.
one constraint to that method that he forgot to mention was one must have Greg's IQ to use it successfully ;]

I would feel like a real jerk if you could pass the CFA in 4 days of studying to my 6 months...

seriously though, congrats, Doug [obligatory round of drinks is on you ;]

I'll be there. Tonight?

 

[IlyaKEightSix]

Congrats (^-^)!

Hedge Funds highly leveraged...

Oh gosh...no wonder LTCM wrecked the economy.

I'm guessing all of the big investment banks and hedge funds are all leveraged at least 10x equity?

 

[Eugene Krel]

:dance:congratulations doug!!:dance:

did someone mention drinks?

 

[Prateek Bhatia]

Congratulations Doug!! :dance:

If its not too rude to intrude upon your thread (that rhymes!), I wanted to ask you something ( or anyone for that matter who has passed CFA L1)

I am currently preparing for it.Not yet registered, will register if I feel confident enough by the sept 15 deadline for the dec 6 exam. I have so far read the 3 study sessions of economics.

I just wanted to ask you if you feel there is any study session that takes more time than others . I would like to tackle such areas now as I have a lot of free time. Also what would you personally recommend someone who wants to give the exam to start off with?

I am asking something highly subjective, but I'll anyways appreciate your input.

 

[doug reich]

I would say it depends on your background. I spent a lot, lot more time on Economics & Accounting principles than I did on Quant (barely any), Ethics (mostly cramming), Alternative Investments, or Fixed Income. But I have never taken a finance course before, and I haven't had economics since I was in high school. On the other hand, FI makes a lot of sense when looked at from a calculus standpoint, so I had no trouble with that.

There's really a lot of memorization in the curriculum. If you can come up with a method for remembering and understanding the material, then you'll be in good shape. That, or if you know it already. (For example, ethics boils down to two rules: 1. You put your client, ahead of your employer ahead of self, and 2. Avoid even the appearance of impropriety. Recognizing that made a huge difference. I can go on and on in mnemonics I made up.)

 

[Uncle Max]

Doug, which materials did you use to prepare for the exam?

 

[doug reich]

I started with Schewer, but ended up using the books the CFA sends, plus any practice tests I could get my hands on. With the CFA books you have to be careful not to study wayyy too much and not cover the test material. Schweser was a little light on explanation, especially for someone who has not seen the material before.

 

[Uncle Max]

Does it mean that you didn't find Schweser helpful at all?

 

[doug reich]

I wouldn't say that. I think they are a good summary. I studied most of the curriculum from the Schweser notes, but for things I wasn't getting (like economics), the CFA notes were much more thorough and made a huge difference. Similarly, trying to learn accounting principles from the Schweser notes was pointless, as they simply assume you know them already (I picked up a separate book on balance sheets).

I would say if you are studying for the exam that you should get the CFA materials first (which you get anyway when you register) and see if they suit your study style. If you think they're too obtuse, you should then go for Schweser or whoever, which are highly condensed.

 

[alain]

I'm definitely obtuse!!! :D

 

[Uncle Max]

What makes you say that, Alain?

Have you tried to study CFA materials?

 

[doug reich]

What makes you say that, Alain?

Have you tried to study CFA materials?

The better question is, are you the CFA materials, Alain?