Core Prime

Monday, December 03, 2007

Command Words

Commonly used command words:

Analyze
To study or determine the nature and relationship of the parts of by analysis.

Appraise
To judge and analyze the worth, significance, or status of.

Arrange
To put into a proper order or into a correct or suitable sequence, relationship, or adjustment.

Calculate
To ascertain or determine by mathematical processes.

Characterize
To describe the essential character or quality of.

Cite
To quote by way of evidence, authority, or proof.

Classify
To arrange in classes; to assign to a category.

Combine
To bring into such close relationship as to obscure individual characteristics.

Comment
To observe, remark, or express an opinion or attitude concerning what has been seen or heard about the subject at hand.

Compare
To examine the character or qualities of, for the primary purpose of discovering resemblances.

Compose
To form by putting together; to form the substance of.

Compute
To determine, especially by mathematical means.

Conclude
To make a decision about; to reach a logically necessary end by reasoning.

Construct
To create by organizing ideas or concepts logically and coherently.

Contrast
To compare in respect to differences.

Convert
To change from one form or function to another.

Create
To produce or bring about by a course of action or imaginative skill.

Criticize
To consider the merits and demerits of and judge accordingly; to find fault with.

Critique
To offer a critical review or commentary.

Define
To set forth the meaning of; specifically, to formulate a definition of.

Demonstrate
To prove or make clear by reasoning or evidence; to illustrate and explain, especially with examples.

Describe
To transmit a mental image, an impression, or an understanding of the nature and characteristics of.

Design
To conceive or plan out in the mind.

Determine
To come to a decision as the result of investigation or reasoning; to settle or decide by choice among alternatives or possibilities.

Diagram
To represent by or put into the form of a diagram.

Differentiate
To mark or show a difference in; to develop different characteristics in.

Discriminate
To mark or perceive the distinguishing or peculiar features of; to distinguish by discerning or exposing differences.

Discuss
To discourse about through reasoning or argument; to present in detail.

Distinguish
To perceive a difference in; to separate into kinds, classes, or categories.

Draft
To draw up, compose, prepare, frame.

Draw
To express graphically in words; to delineate.

Estimate
To judge the value, worth, or significance of.

Evaluate
To determine or fix the value of; to determine the significance or worth of, usually by careful appraisal and study.

Explain
To give the meaning or significance of; to provide an understanding of; to give the reason for or cause of.

Formulate
To put into a systematized statement or expression; to prepare according to a formula.

Give
To yield or furnish as a product, consequence, or effect; to offer for the consideration, acceptance, or use of another.

Identify
To establish the identity of; to show or prove the sameness of.

Illustrate
To make clear, especially by giving examples or instances.

Indicate
To point out or point to with more or less exactness; to show or make known with a fair degree of certainty.

Infer
To derive as a conclusion from factors or premises.

Interpret
To explain or tell the meaning of; to present in understandable terms.

Judge
To form an opinion about through careful weighing of evidence and testing of premises.

Justify
To prove or show to be valid, sound, or conforming to fact or reason; to furnish grounds or evidence for.

List
To enumerate.

Match
To pair up or put in a set as possessing equal or harmonizing attributes.

Modify
To make minor changes to give a new orientation to or to serve a new end.

Name
To mention or identify by name.

Order
To put in order; to arrange.

Outline
To indicate the principal features or different parts of.

Predict
To declare in advance; to foretell on the basis of observation, experience, or reason.

Prepare
To put into written form; to draw up.

Present
To offer or convey by way of message; to furnish or provide.

Rearrange
To put back into proper order or into a correct or suitable sequence, relationship, or adjustment.

Recommend
To bring forward as being fit or worthy; to indicate as being one's choice for something or as otherwise having one's approval or support.

Record
To set down in writing; to make an answer.

Relate
To show or establish logical or causal connection between.

Respond
To say or write something in return; to make an answer.

Restate
To state again in a new form.

Review
To make a formal or official examination of the state of; to go over or examine critically or deliberately.

Revise
To make a new, amended, improved, or up-to-date version of.

Select
To choose from a number or group -- usually, by fitness, excellence, or other distinguishing feature.

Separate
To set or keep apart; to make a distinction between; to sort.

Show
To set forth in a statement, account, or description; to make evident or clear.

Solve
To find a solution for a problem.

State
To express in words.

Subdivide
To divide the parts into more parts.

Summarize
To tell in or reduce to a summary.

Support
To provide with verification, corroboration, or substantiation.

Write
To put on paper; to record, state, or explain.

Quite a few words, huh?

Labels: ,

CFA Candidate Body of Knowledge (CBOK)

Topical Outline

I. ETHICAL AND PROFESSIONAL STANDARDS

A. Professional Standards of Practice

B. Ethical Practices

II. QUANTITATIVE METHODS

A. Time Value of Money

B. Probability

C. Probability Distributions and Descriptive Statistics

D. Sampling and Estimation

E. Hypothesis Testing

F. Correlation Analysis and Regression

G. Time Series Analysis

H. Simulation Analysis

I. Technical Analysis

III. ECONOMICS

A. Market Forces of Supply and Demand

B. The Firm and Industry Organization

C. Measuring National Income and Growth

D. Business Cycles

E. The Monetary System

F. Inflation

G. International Trade and Capital Flows

H. Currency Exchange Rates

I. Monetary and Fiscal Policy

J. Economic Growth and Development

K. Effects of Government Regulation

L. Impact of Economic Factors on Investment Markets

IV. FINANCIAL REPORTING AND ANALYSIS

A. Financial Reporting System (IFRS and GAAP)

B. Principal Financial Statements

C. Financial Reporting Quality

D. Analysis of Inventories

E. Analysis of Long-Lived Assets

F. Analysis of Taxes

G. Analysis of Debt

H. Analysis of Off-Balance-Sheet Assets and Liabilities

I. Analysis of Pensions, Stock Compensation, and Other Employee Benefits

J. Analysis of Inter-Corporate Investments

K. Analysis of Business Combinations

L. Analysis of Global Operations

M. Ratio and Financial Analysis

V. CORPORATE FINANCE

A. Corporate Governance

B. Dividend Policy

C. Capital Investment Decisions

D. Business and Financial Risk

E. Long-Term Financial Policy

F. Short-Term Financial Policy

G. Mergers and Acquisitions and Corporate Restructuring

VI. EQUITY INVESTMENTS

A. Types of Equity Securities and their Characteristics

B. Equity Markets: Characteristics, Institutions, and Benchmarks

C. Fundamental Analysis (Sector, Industry, Company) and the Valuation of Individual Equity Securities

D. Equity Market Valuation and Return Analysis

E. Special Applications of Fundamental Analysis (Residual Earnings)

F. Equity of Hybrid Investment Vehicles

VII. FIXED INCOME

A. Types of Fixed Income Securities and their Characteristics

B. Fixed Income Markets: Characteristics, Institutions, and Benchmarks

C. Fixed Income Valuation (Sector, Industry, Company) and Return Analysis

D. Term Structure Determination and Yield Spreads

E. Analysis of Interest Rate Risk

F. Analysis of Credit Risk

G. Valuing Bonds with Embedded Options

H. Structured Products

VIII. DERIVATIVES

A. Types of Derivative Instruments and their Characteristics

B. Forward Markets and Instruments

C. Futures Markets and Instruments

D. Options Markets and Instruments

E. Swaps Markets and Instruments

F. Credit Derivatives Markets and Instruments

IX. ALTERNATIVE INVESTMENTS

A. Types of Alternative Investments and their Characteristics

B. Real Estate

C. Private Equity/Venture Capital

D. Hedge Funds

E. Closely-held Companies and Inactively Traded Securities

F. Distressed Securities/Bankruptcies

G. Commodities

H. Tangible Assets with Low Liquidity

X. PORTFOLIO MANAGEMENT AND WEALTH PLANNING

A. Portfolio Concepts

B. Management of Individual/Family Investor Portfolios

C. Management of Institutional Investor Portfolios

D. Pension Plans and Employee Benefit Funds

E. Investment Manager Selection

F. Other Institutional Investors

G. Mutual Funds, Pooled Funds, and ETFs

H. Economic Analysis and Setting Capital Market Expectations

I. Tax Efficiency

J. Asset Allocation (including Currency Overlay)

K. Portfolio Construction and Revision

L. Equity Portfolio Management Strategies

M. Fixed Income Portfolio Management Strategies

N. Alternative Investments Management Strategies

O. Risk Management

P. Execution of Portfolio Decisions (Trading)

Q. Performance Evaluation

R. Presentation of Performance Results

These are the topics that I have to be intimately familiar with by early June if I want to pass the exam in one try.

Labels: ,