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I am using Obsidian to create notes for CFA - Level 1.
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The CFA Program?
The Chartered Financial Analyst (CFA) program is a globally recognized professional qualification offered by the CFA Institute (USA). It is aimed at investment and finance professionals.
Tip
The CFA designation is considered the gold standard in investment management and financial analysis.
- Level I: Basic knowledge and comprehension of financial concepts
- Level II: Application of concepts and complex analysis
- Level III: Portfolio management and wealth planning
Exam Format
- Mode: Computer-Based Testing (CBT)
- Duration: Two sessions of 2 hours 15 minutes each (total 4.5 hours)
- Questions: 180 Multiple Choice Questions (90 per session)
- Style: No negative marking
Exam Structure
| Topic | Weightage |
|---|---|
| Ethical & Professional Standards | 15–20% |
| Financial Reporting & Analysis | 13-17% |
| Equity Investments | 10–12% |
| Fixed Income | 10–12% |
| Economics | 8–12% |
| Quantitative Methods | 8–12% |
| Corporate Issuers | 8–12% |
| Derivatives | 5-8% |
| Alternative Investments | 5-8% |
| Portfolio Management | 5-8% |
Syllabus
- Ethics and Professional Standards
- CFA Institute Code of Ethics & Standards of Professional Conduct
- Ethical decision-making in finance
- Quantitative Methods
- Time value of money
- Probability, hypothesis testing
- Correlation and regression
- Economics
- Micro and macroeconomic principles
- Supply and demand, market structure
- Monetary and fiscal policy
- International trade and currency exchange
- Financial Reporting and Analysis (FRA)
- Income statement, balance sheet, cash flow statement
- Financial ratios
- IFRS vs US GAAP
- Corporate Issuers
- Corporate governance
- Capital budgeting
- Cost of capital
- Dividend policy
- Equity Investments
- Stock markets, indices
- Equity valuation techniques
- Fixed Income
- Bonds and interest rates
- Duration and convexity
- Yield curves
- Derivatives
- Forwards, futures, options, swaps
- Basic pricing and risk management
- Alternative Investments
- Real estate, private equity, hedge funds
- Commodities
- Portfolio Management
- Risk and return
- Diversification
- Asset allocation basics