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100% agree with David, the actual dynamics is not that simple

Hi @aditydev1997 , I read the notes. I think you're looking at the issue the wrong way. The only way for market cap to increase is from its constituents - share price and shares outstanding. Market Cap = Share Price * Shares Outstanding The money earned from the sale of warrants goes into the...

Hi @DenisAmbrosov , The term asymptotically unbiased just explains the math in words. The word asymptotically comes from the word asymptote, which is a line that the curve seems to approach as it approaches infinity, but never really touches. The same with the estimator, as the sample size goes...

Dear @DenisAmbrosov , I think the math is trying to say - the expectation of the sample mean or the average of many sample means should give you the population mean, thanks.

Hi @DenisAmbrosov , From left to right, the sum of the population mean over n iterations divided by n equals the population mean. Not too sure what your question is, perhaps you can be more specific?

Hi @Mezzala95 , I understand your frustration. I still think it would be better for you to immediately attempt the questions after reading the study notes. The reason being that if you complete all the notes and go back to the first chapter (not topic)'s questions, you might forget some of the...

Hi @giuseppe.dattis and fellow turtle, I've heard of the corporate finance institute (an online platform), offering a credit analyst course. The topic private debt seems like a very niche body of knowledge so I am not sure if a course would be made specifically for that. You can always read...

Hi @LucreziaB , I think its pretty hard to infer the MPS, as it really depends on the distribution of scores that year. Assuming central limit theorem (due to a large number of test takers and a normally distributed set of scores), you'd have to find the mean and move by 4.0% as the long-run...

Thank you David, it is a really helpful reference!

Hi @Eyram, I'm afraid we can't answer you because your question isn't specific enough. Perhaps you can narrow it down with an example?

Hi @reiss1 , I looked at the notes. It states that the trade-off exists as a disadvantage of hedging risk, which is the decrease in cashflow volatility for an increase in accounting volatility. Off the top of my head, one of the disadvantages of high accounting volatility is that investors may...

Hi @Neptune , Glad to have you on the forum. I'm not sure what the exact nature of the issue is with the GARP website, but perhaps its because they have not tabulated the scores. My guess is that you will not be able to sign up for the GARP Pt1 early bird in November due to the score...

Hi @reiss1 , Thank you for your questions. 1. My understanding is yes. As asset-backed CLNs have a certain yield based on the underlying loans issued to borrowers, this results in the AB-CLNs being worth less or more depending on the market interest rate relative to that of the AB-CLNs. 2...

Hi @kchristo , Thanks for your question. My understanding is that they are different things (1. The inherent leverage in structured products vs 2. Loans taken out by the originators of the structured products). 1. The inherent leverage of structured products come from the layering of...

Hi @AbhishekJha , In this particular case, the type of credit risk you are talking about would be counterparty credit risk. My understanding of this "positive replacement value" is similar to positive credit exposure - when you stand to lose something (cash or future gain) from the counterparty...

Hi @AbhishekJha , What is Curve Risk? Can this be explained with example. - The answer to curve risk is in the text you quoted, "Curve risk is when the fixed income is hedged against parallel shifts in the yield curve (e.g., duration or DV01 hedged) but are exposed to non-parallel shifts such...

Hi @AbhishekJha , Thanks for your question. My experience with BT's questions is that this normally doesn't prove to be an issue because the questions tend to post a sensible answer with three other options that normally conflict (in the below case its one due to the requirement of the...

I did my exam on July 14th and got a score of 62/100. I am quite disappointed with the score, but kind of expected it with my performance during the exam, guessing for quite a few questions (that were odd and I felt like I had never seen the terminologies used?! - I hate GARP). I guess there is...

Enjoy your vacation David and happy 4th of July :)

Hi @David Harper CFA FRM , hope work is going well :) I was wondering if there are any updates to the table?