waldziuchna

It all depends. For some who actually have the time and really want a level of depth, CFAI is superior. For others who either have a finance background (and should know most of this stuff from undergrad) or want a focused refresher, the review courses are better. In general, though, the review courses seem to be a more efficient way.

CFAI has been most useful to me in areas I have less background in (Code of Ethics, AI, Derivatives, PM) and as reference for when Schweser seems to fall short. At most I've read maybe 10 readings so far. But then again I have a finance background so I remember most of the concepts I read about in the review books.

However, I would say the most helpful thing for my *by far* has been doing tons and tons of questions. Not the kind of review where you take them and get them right a 2nd or 3rd time by memorising the question, but where you do a quiz / re-review areas missed / and then take more that are brand new. At first I tried to just read a book and then do a huge exam; big mistake. When I broke it up into each reading and increased the frequency of quizzes, I started to improve. If I'm fortunate / prepared enough to, I think QBank will be reason I pass in Dec.

kmf229

If you only have 2 months to study for the exam, I would stick with Schweser alone, except for Ethics.

However if you have 4-5 months, its best to se 1-2 months on the CFAI materials. Every exam there are 8-10 questions whose answers are explicitly stated on the CFAI Material, but just glossed over or implied indirectly in the Schweser materials...

bluejazzy

I am now thinking, CFAI material could be put to good use in L2. Although, my colleague here who is a CFA passed all 3 levels exclusively using Scheweser. During his day, CFAI did not force you to pay for their material.

Overall, whether their material is good, great or garbage, they must not force you to buy it. If its that good, word will spread and people will buy.

Also, someone said CFAI is a business. I didnt know that. I thought it was a non-profit. I am learning something new here everyday.

ajpheif16

I studied exclusively from the CFA materials though a week before the exam I looked at Schewer test prep materials. On the choice of one over the other...

It depends on what you want to achieve - If you are looking just to pass the exam, the test prep will do a faster job. However, the CFA materials give you a lot of background information too, which makes studying them very interesting.

Admitted a big chunk of the materials is not needed at all but makes for interesting reading and anecdotes (for when you are in a cocktail party). Interestingly, the CFA notes on the efficiency of capital markets first motivated me to day trade (since I learned that there are inefficiencies to be exploited) and in the first month of trading a made profits enough to pay for my CFAI curriculum, CAIA curriculum, a sony handycam and an iphone.

Having said all this, I have taken Schewer for September CAIA since now I don't have time and want to just clear this exam. Besides, the CAIA suggested curriculum is very not clearly defined and quite broad. Schewer has probably done a good job of putting together only that is needed. Additionally, the pass rates are high for the CAIA so a mild study schedule should do it. I receive the materials tomorrow.

I will take the CFA materials for CFAII.

Flok

Ok, you've got me intrigued. What type of inefficiency are you referring to that you were able to locate? Arbitrage of some kind, I suppose...

Put-Call parity perhaps, hehe?

dcfox83

One of them (the most successful for me at least) is the semi-strong form efficiency with regards to earnings releases...

On average, any positive or negative impact of an earnings release gets incorporated in the stock as thus (i may be a bit off on the actual numbers but they are in the CFAI book)

~35% before the date of the earnings release (due to investor expectations, whispers etc.)
~15% on the day of the release
~50% afterwards..

if that happens on the average, why not make some money of it when it doesn't happen that way ;)

Stock splits, lawsuits others have their own impact