Institutional IPS this year - pension? possible, insurance, following, foundation, 2010

Iginla2010

look back at previous exams I have determined the following was asked for the institutional IPS:

2006 - pension
2007 - endowment
2008 - pension
2009 - foundation
2010 - pension?

based on this looks like we could see pension this year. I would think there is a great chance. I mean there is always the possible they will screw us over and through in an insurance or bank question, but i think thats not very likely.

nannan66

Well, I'm not wasting time speculating what will or won't be on a test that I can't predict, that's for sure!

Right now I'm taking one practice test per day, doing a final review of each topic (2 a day), and then just trying to improve on the areas that I consistently make mistakes in. Focusing more on CFA materials now so that I have a good idea of what I'll be in for... did 2007 today and will get to 2008 and 2009 over the next 4 days. Might do some more of Schweser Vol 2 if I have time left but there are some EOCs I may do instead. Helps that I'm off from now until exam day!

lcai

Aimee is on top of things.

Iginla2011

for whatever it's worth (nothing?), I agree there could be a hybrid institutions problem - sort of like last year (won't spoil it).

it's just fun to guess, that's all

mar350

Hmm you guys seem to be forgetting that there can be more than one. 2007 was endowments and life insurance!

aidebaobao

Its going to be pensions and Chi Paul will fail because his tongue will make his paper all wet and the ink will run.

Chuckrox

Think it'll be Life & Casualty Insurance this year. Gut feeling.

Plus, the Schweser Mock had a big Banks essay... so, if the CFAI did too they probably changed it to spite everyone.

Look at the 2003 exam for an example essay. Remember:

Life insurers:
- risk sources (disintermediation, credit, ALM, etc.)
- return objective (crediting rate, etc.)
- liquidity

Non-life:
- return objectives (competitive pricing, etc.)
- risk sources (underwriting cycle, etc.)
- liquidity requirement (large reserve for claims, etc.)
- time horizon, relative to Life (shorter? I think)

lcw77

From Schweser website.


Level III
Selected Past Exam Questions
Individual Investment Policy

2007 Exam: 53 points Jack & Ruth Ingram
2006 Exam: 34 points Randolfo Serra
2005 Exam: 37 points Elizabeth Yeo
2004 Exam: 58 points Christopher Maclin
2003 Exam: 47 points The Campbell's
2002 Exam: 58 points Claire Pierce
2001 Exam: 61 points Dr. Stephenson
2000 Exam: 44 points Robert Taylor
1999 Exam: 48 points Peter & Andrea Mueller
1998 Exam: 46 points Vince Donaldoni & Maria Barba
1997 Exam: 42 points John Mesa
1996 Exam: 27 points Susan Fairfax
1995 Exam: 40 points Ambrose Green


13 year average = 46 points or 13% of the exam.

Trailing 4 year average points = 46 points or 13% of the exam.

Analyze_This

just remember they have significant liquidity, and the security portfolio is designed to manage liquidity, manage credit risk, manage duration(interest risk), and provide income....

Windjammer

and they use it to offset risks taken in the loan portfolio.