schweser's volume 1 exam book - semi spoilers guess, because, necessary, difficult, all

Jolyn

have you guys noticed this year, that they are dedicating whole vignettes to calculations that they say aren’t necessary in their study notes?
the tests are not more difficult. i just hit 80 for the second time. but i’m getting almost the whole vignette wrong because i didn’t memorize the calculations.
things like contingent immunization, 2 bond hedge, etc… so i guess that is their roundabout way of telling us we should know all this stuff?

dotamasta

is that what it is?? i sort of wondered the same thing……… does schweser have good track record? i mean, i can’t believe their cash and carry section is so tiny and meaningless (it is there though)
one thing i will say is it’s hard to give a highly meaningful qualitative answer if you don’t really understand the underlying equation, in alot of cases.
i mean i got the idea that the initial cushion spread or whatever it’s called would be fair game.

Londonrocks

Changing dollar duration using a controlling position has been stricken from the CFAI curriculum, it’s in the errata. So don’t even bother with it.
As for stuff Schweser says is likely or not likely.. it’s a guess on their part. They aim for the most points on the exam, not ALL of the points.
Seriously, if you blew the reverse cash & carry in 2008, guaranteed the 9 points there didn’t make or break you. Plus, practically everyone got it wrong so it was a toss out anyway.
If we calmly focus on the big picture, we should be fine..