Study Notes for CFA® Level III – Behavioral Finance – offered by AnalystPrep
Reading 1: The Behavioral Biases of Individuals -a. Compare and contrast cognitive errors and emotional biases; -b. Discuss commonly recognized behavioral biases and their implications for financial decision making; -c. Identify and evaluate an individual’s behavioral biases; Reading 2: Behavioral…
Study Notes for CFA® Level III – Capital Market Expectations – offered by AnalystPrep
Reading 1: Capital Market Expectations – Part 1 (Framework and Macro Considerations) Los 1 a: Discuss the role of, and a framework for, capital market expectations in the portfolio management process Los 1 b: Discuss challenges in developing capital market…
Study Notes for CFA® Level III – Asset Allocation – offered by AnalystPrep
Reading 5: Overview of Asset Allocation -a. Describe elements of effective investment governance and investment governance considerations in asset allocation; -b. Describe elements of effective investment governance and investment governance considerations in asset allocation; -c. Compare the investment objectives of…
Growth Accounting Relations
Growth accounting relations is a quantitative model Robert Solow developed in 1957. It is used to measure the effect of different factors of economic growth. In addition, it indirectly estimates the technological progress in an economy. In other words, it…
Theories of Growth
There are three growth theories based on the per capita growth in an economy: The classical growth theory. The neoclassical growth theory. Endogenous growth theory. The Classical Theory (Malthusian Theory) Thomas Malthus developed the classical growth theory in 1798….
Effects of Investment in Physical Capital, Human Capital, and Technological Development on Economic Growth
Human Capital Human capital is the amassed knowledge and skills that the labor force reaps from education, training, or life experiences. In other words, human capital is the “labor quality of the labor quantity.” Better educated and skilled workers will…
Capital Deepening and Technological Progress
Capital deepening is a condition in which an economy’s capital per worker (capital-labor ratio) is rising. The rate of change in the capital stock per labor hour. measures capital deepening. On the other hand, technological progress is the innovation of…
Uses of Self-regulation
Self-regulatory bodies exist in industries such as financial markets. These regulatory bodies are commonly known as self-regulating organizations (SROs). SROs are non-governmental organizations that possess the authority to create and implement independent industry and professional regulations and standards. Unlike the…
Classifications of Regulations and Regulators
The regulators in the market can broadly be classified into those governed by legislative bodies and those produced by the market voluntarily. Let’s look at the types of regulators and their corresponding regulations. Types of Regulators and Regulations 1. Government…
Antitrust Regulation
Antitrust regulation is the law a government introduces to balance the share of economic power in business by ensuring healthy competition. Antitrust laws protect consumers from predatory business operations. In addition, they maintain fair competition in an economy. Anticompetitive Behaviors…
