19 items with this tag.
HP 12c Platinum Financial Calculator Guide hp12c This guide summarizes the main functions and features of the HP 12c Platinum financial calculator, based on the information provided.
Topic 1: Rates and Returns - Finance Certification 1 Enhanced Study Guide Core Concepts Summary (80/20 Principle) The most critical concepts that account for 80% of exam questions: exam-focus Interest Rate Components: Real risk-free rate + inflation premium + risk premiums Return Calculation Methods...
Time Value of Money in Finance - Enhanced Study Guide Learning Objectives After completing this topic, you should be able to: Calculate and interpret the present value (PV) of fixed-income and equity instruments based on expected future cash flows Calculate and interpret the implied return of fixed-...
Fixed-Income Instrument Features Learning Objectives Coverage LO1: Describe the features of a fixed-income security Core Concept Fixed-income instruments are debt securities representing contractual agreements where an issuer borrows money from investors in exchange for interest payments and future ...
Topic 10: Interest Rate Risk and Return Learning Objectives Coverage LO1: Calculate and interpret the sources of return from investing in a fixed-rate bond Core Concept Definition: Fixed-rate bonds generate returns from three distinct sources: (1) scheduled coupon and principal payments, (2) reinves...
Topic 11: Yield-Based Bond Duration Measures and Properties Learning Objectives Coverage LO1: Define, calculate, and interpret modified duration, money duration, and the price value of a basis point (PVBP) Core Concept exam-focus Modified duration measures a bond’s price sensitivity to yield changes...
Topic 12: Yield-Based Bond Convexity and Portfolio Properties Learning Objectives Coverage LO1: Calculate and interpret convexity and describe the convexity adjustment Core Concept exam-focus Convexity is a complementary risk metric that measures the second-order (non-linear) effect of yield changes...
Topic 14: Credit Risk Learning Objectives Coverage LO1: Describe credit risk and its components, probability of default and loss given default Core Concept exam-focus credit-analysis Credit risk is the risk of economic loss resulting from a borrower’s failure to make full and timely payments of inte...
Topic 16: Credit Analysis for Corporate Issuers Learning Objectives Coverage LO1: Describe the qualitative and quantitative factors used to evaluate a corporate borrower’s creditworthiness Core Concept exam-focus credit-analysis Corporate credit analysis evaluates a company’s ability and willingness...
Topic 18: Asset-Backed Security (ABS) Instrument and Market Features Learning Objectives Coverage LO1: Describe characteristics and risks of covered bonds and how they differ from other asset-backed securities Core Concept exam-focus Covered bonds are senior debt obligations issued by financial inst...
Topic 19: Mortgage-Backed Security (MBS) Instrument and Market Features Learning Objectives Coverage LO1: Define prepayment risk and describe time tranching structures in securitizations and their purpose Core Concept exam-focus Prepayment risk is the uncertainty about the timing and amount of princ...
Fixed-Income Cash Flows and Types Learning Objectives Coverage LO1: Describe common cash flow structures of fixed-income instruments and contrast cash flow contingency provisions that benefit issuers and investors Core Concept Cash flow structures determine the timing and amounts of interest and pri...
Statistical Measures of Asset Returns Learning Objectives By the end of this topic, candidates should be able to: Calculate, interpret, and evaluate measures of central tendency and location to address an investment problem Calculate, interpret, and evaluate measures of dispersion to address an inve...
Estimation and Inference Learning Objectives Coverage LO1: Compare and contrast simple random, stratified random, cluster, convenience, and judgmental sampling and their implications for sampling error in an investment problem Core Concept Sampling methods are techniques for selecting a subset of ob...
Hypothesis Testing Learning Objectives Coverage LO1: Explain hypothesis testing and its components, including statistical significance, Type I and Type II errors, and the power of a test Core Concept Hypothesis testing is a statistical procedure for deciding whether to reject a claim about a populat...
Topic 13: Curve-Based and Empirical Fixed-Income Risk Measures Learning Objectives Coverage LO1: Explain why effective duration and effective convexity are the most appropriate measures of interest rate risk for bonds with embedded options Core Concept exam-focus Effective duration and convexity mea...
Topic 7: Yield and Yield Spread Measures for Fixed-Rate Bonds Learning Objectives Coverage LO1: Calculate annual yield on a bond for varying compounding periods in a year Core Concept Definition: Bond yields can be expressed with different compounding frequencies (periodicity), requiring conversion ...
Topic 8: Yield and Yield Spread Measures for Floating-Rate Instruments Learning Objectives Coverage LO1: Calculate and interpret yield spread measures for floating-rate instruments Core Concept Definition: Floating-rate notes (FRNs) have coupons that reset periodically based on a reference rate plus...
Topic 9: The Term Structure of Interest Rates: Spot, Par, and Forward Curves Learning Objectives Coverage LO1: Define spot rates and the spot curve, and calculate the price of a bond using spot rates Core Concept Definition: Spot rates are the yields on zero-coupon bonds for various maturities, repr...