2014 Part 1 Published Materials

[Nicole Seaman]

The following list shows all of the materials that have been updated in the Study Planner to coincide with the 2014 Part I curriculum. This list will be updated as we publish new materials.

Topic 1: Foundations of Risk Management

Topic Review:

• Interactive Quiz (NEW FEATURE!)
• Question Set going along with Interactive Quiz

Reading 1: Risk Taking A Corporate Governance Perspective

• Question Set
• Study Notes

Reading 2: Elton Chapter 13

• Question Set
• Study Notes

Reading 3: Bodie, Chapter 10

• Question Set
• Study Notes

Reading 4: Amenc, Chapter 4

• Question Set
• Study Notes

Reading 5: Rittenburg, Understanding & Communicating Risk Appetite

• Question Set
• Study Notes

Reading 6: Tarantino, Chapter 3

• Question Set
• Study Notes

Reading 7: Allen, Chapter 4

• Question Set
• Study Notes

Reading 8: Stulz, Risk Management Failures

• Question Set
• Study Notes

Reading 9: GARP Code of Conduct

• Study Notes

Topic 2: Quantitative Analysis

Topic Review:

• Interactive Quiz (NEW FEATURE!)
• Question Set going along with Interactive Quiz

Reading 10: Miller, Chapters 2, 3, 4 & 5

• Question Set
• Study Notes

Reading 11: Stock, Chapters 4, 5, 6 & 7

• Question Set
• Study Notes

Reading 12: Pachamanova, Simulation and Optimization in Finance

• Question Set
• Study Notes

Reading 13: Hull, Estimating Volatilities

• Question Set

Topic 3: Financial Markets and Products

Topic Review:

• Interactive Quiz (NEW FEATURE!)
• Question Set going along with Interactive Quiz

Reading 14: The Institute for Financial Markets, Futures and Options

• Question Set
• Study Notes

Topic 4: Valuation & Risk Models

Topic Review:

• Interactive Quiz (NEW FEATURE!)
• Question Set going along with Interactive Quiz

Reading 22: Hull, Options and Other Derivatives

• Question Set

Reading 24: Wagner, Chapters 3 & 4

• Question Set
• Study Notes

 

[David Harper CFA FRM]

Here is what I am currently working on (which implies it will soon be updated and "move" to the above list):

Reading 2 - Elton

• Practice Question Published

Reading 10: Miller's Statistics

• Study Notes Published
• Question Set Published

Reading 11: Stock & Watson, Linear Regression (Ch 4 to 7)

• Study Notes (minor update) Published
• Question Set Published

Reading 12: Pachamanova and Fabozzi, Simulation and Optimization in Finance

• Question Set (new) Published
• Study Notes (new) Published

Reading 13: Hull, Estimating Volatilities

• Study Notes (minor update)
• Question set (minor update) Published

Reading 14: IFM on Futures and Options

• Question Set Published
  • Chapter 1: Intro
  • Chapter 2: Industry
  • Chapter 7: Hedging
• Study Notes (new) --

Reading 24: Wagner, Managing Country Risk

• Study Notes -- by MondayPublished
• Practice Questions -- In process on Today's Daily Question (as final 3-question set publishes on Thursday 5/15, that's when PDF is published) Published

 

[Bridgett27]

Hi David,

I saw that Reading 2 of Part 1 "Elton Chapter 13" does have question set, but it is not noted as Updated or to be updated (yet). Is the question set still relevant? Does this mean its question set does not need update or you still plan to update it sometime soon. It would be helpful to know. Thanks in advance.

 

[David Harper CFA FRM]

Hi @Bridgett27 It will be updated, I just didn't prioritize it candidly. I added above (I will do it today this week when I get to it). I'm just going to check for error revisions and move Chapter 14 to the appendix; i.e., I'll retain Chapter 5 (b/c those questions are still relevant)

 

[Bridgett27]

Hi @Bridgett27 It will be updated, I just didn't prioritize it candidly. I added above (I will do it today this week). I'm just going to check for error revisions and move Chapter 14 to the appendix; i.e., I'll retain Chapter 5 (b/c those questions are still relevant)

Thanks, David.

 

[AnuragSeth]

Hi David

Under the topic 3 financial markets and products, have all 3 new topic, namely chapter 1,2,7 have been published?

Regards
Anurag

 

[David Harper CFA FRM]

Hi @AnuragSeth Not yet, I am currently editing the Study Notes (the PQ for those topics have been published, as above). I plan to finish them over the weekend with expectation to publish Monday. Thanks,

 

[AnuragSeth]

Hi David

Seems some issue in the username passwords for accessing the material. Have passwords been reset? Have the new topics in 2014 for book 3 and book 4 been published ?

Kind regards
Anurag

 

[David Harper CFA FRM]

@AnuragSeth Our passwords seem to be working fine (cc @Nicole Manley ). Re: new topics, I'll update the above status list tomorrow, but: you can stop asking me for specific status updates. We will publish updates when we are satisfied with their quality, that's how I work. You are welcome to use the forum conditional on not trying to add to my considerable daily workload and stress by way of constant and specific status updates.

 

[Nicole Seaman]

Hello @AnuragSeth,

Passwords are normally only reset by the user so we haven't changed any usernames or passwords. I notice that you are able to post on the forum, which requires you to be logged in with your username and password. Can you tell me the specific issue that you are having with accessing the website? In order to access the materials, you would need to be a paid member. If you go into the Study Planner as a free member you will be able to see samples, but not the full materials. Please let me know if you are continuing to have issues accessing specific areas of the website.

Thank you,

Nicole

 

[Jo_]

Hi Nicole,
@Nicole Manley @David Harper CFA FRM CIPM

As you are well aware, specific chapters were deleted and added from the 2013 to the 2014 curriculum, which is a bit of an issue to me since i deffered my original november exam so i'm working on the 2013 FRM books. I already contacted GARP and the only way to obtain the new additions is to buy the whole book of sets again, they don't offer them as seperate set somehow.

Now, up until now, it hasn't really been a problem because all the new additions for tiers 1 to 3 have been added on here. However, if i'm not mistaken, there is no material available for the new addition for valuation and risk models (wagner, managing country risk). So my question(s):
- Will it still be made available before the exam (even if it's just the study notes without exercises)
- If yes: do you have any idea by when?
- If no: is there any way i can get my hands on the original text (chapter 3 & 4) so that at least i can read through them and not go to the exam having completely ignored a specific reading?

I won't exaggerate, but i'm a bit panicking in this respect, any help would be mostly appreciated.

Kr,

Jo

 

[Alex_1]

@Jo_ just as a hint, approximately half of the reading from Wagner can be found via google books:
http://books.google.de/books?id=NNC...de&source=gbs_toc_r&cad=4#v=onepage&q&f=false

It's available if I look it up from Germany, possibly should be available also from other countries. And to be honest the content which comes after the "cut" (i.e. after the point in the link where it stops being readable) is not that relevant in my opinion, it's mostly about alternative measures of country risk if one is not able/not willing to set up his/her own country risk methodology. And then the author enumerates these measures, which are:

• Corruption Perception index
• Democracy Index
• Freedom in the World
• Gini Coefficient
• Global Peace Index
• Human Development Index
• Youth Unemployment

I read this chapter once and I don't think I'll spend more energy than this, there are frankly other topics from P1. T4 which are really more testable (VaR, spectral measures, option pricing, Greeks, binomial trees, the entire bond chapters from Tuckman, EL and UL, operational risk, stress testing), but this is only my thought on this.

Nevertheless hope this helps (somehow...).

 

[David Harper CFA FRM]

Hi @Jo_ We are working on R24 Country Risk (Wagner) notes today and this weekend: they will publish next week. We don't have a PQ set for them yet, I just finished the T9 Global Topic Review, and I haven't decided which PQ sequence goes next (in addition to the long T6 Gregory counterparty sequence that I am currently writing), I *might* start a PQ sequence on R24 as it's one of the few PQ gaps we currently have in P1 (but it would not finish until after the exam). I hope that helps, thanks,

 

[Jo_]

Thanks David, life saver!

Although a PQ set is always good to test the knowledge, my main concern is now to simply have the material available. So the notes would be a great help!

 

[ChrisGo]

Hey nicole, hey david,

is it possible, that you put into the study notes of elton (chapter 13; foundations of riskmgmt) the content of the abitrage pricing theorie?
I acutually just find it in the question-set...

Thanks a lot!

 

[David Harper CFA FRM]

@ChrisGo Sorry, I admit I am tired but I just do not understand what you are asking. I just checked the R2 and R3 notes and they appear, to me, to be respective Elton and Bodie (APT). cc: @Nicole Manley in case there is something here we should know about

@Jo_ et al I did decide to start a sequence on R24, one of our few P1 PQ gaps, see https://forum.bionicturtle.com/threads/p1-t4-405-country-risk-wagner.7791/
So that means we'll publish a daily PQ for Wagner today, Wed, next mon and next Wed, so that's really close to the exam, but we'll actually finish Wagner PQ next Wed then.

 

[ChrisGo]

Oh boy, sorry David, I just realized that apt is part of bodie and not of elton...Sorry again!

 

[filip313]

Hi David,

I have started the review (Part 1 Exam on the 17th) and I am looking for the best way to test my knowledge, but I am not sure I'll have time to do all the exercises available.
So far I have completed only the global topic drills for the 4 sections.
Based on the fact that I have a limited amount of time before the 17th, do you think it makes more sense to focus on the question sets of the readings or to do the practice exams?
I am thinking that most of the question sets of the readings have been updated recently, but the practice exams haven't. What would you suggest?
Is there any of the Practice Exams which is more relevant/more up to date?


Many thanks,
Filippo

 

[David Harper CFA FRM]

Hi @filip313 You are correct that reading set questions (on average) are more recent than our Mocks (I assume you refer to our mocks, rather than GARP Practice Exam). However, I would nevertheless recommend prioritizing (doing first) the Mocks/Practice Exams. The reason is simple: in general, they are more representative (e.g., less difficult, less deep in many cases) of the exam, and especially for P1, any "trailing 2 to 4 year historical window" is highly relevant (in some cases, going back to 2000 is still fine). For P1, recency is not as critical as you might imagine; for example, Hull (the most important text in P1) has been essentially (core concepts) unchanged for years. (conversely, as the exam approaches, the "weakness" of some of our deep practice sets is that they go deeper than you will be tested; it is intentional per a long-term learning agenda, but let's not confuse that with an exam passing agenda).

Re: Is there any of the Practice Exams which is more relevant/more up to date? Our Study Planner represents our current effort, we will be revising/adding more in the second semester (including on online quiz). Thanks,

 

[msli]

Hello David,
Will there be any global drill practice questions for the Foundations of Risk Management section?