Economics of Regulation / Lesson 1 / Study Text 1.2 Reasons for Decreased Reliance on Self-Regulation First sentence under LOS13d should read: “The regulatory capture theory argues that
Trang 1Page 1 www.efficientlearning.com/support/updates
Change Log for CFA 2019 Level II
03/07/2019 SS4 Economics / R11 Curency Exchange Rates: Determination and
02/21/2019 SS4 Economics / R11 Curency Exchange Rates: Determination and
European bank:
USD/EUR = 1.3802 - 1.3806 GBP/EUR = 0.8593 - 0.8599
02/21/2019 SS4 Economics / R13 Economics of Regulation / Lesson 1 / Study Text 1.2 Reasons for Decreased Reliance on Self-Regulation
First sentence under LOS13d should read:
“The regulatory capture theory argues that regulation can often actually advance the interests of the regulated industry (e.g., by restricting potential competition and coordinating the strategies of rivals)
01/29/2019 SS5 FRA (1) / R14 Intercorporate Investments / Lesson 3 / Study Text 3.5 Impairment, last bullet point should read as follows:
“Reversal of an impairment loss is not allowed under IFRS (except for non-goodwill impairment losses) or U.S GAAP.”
03/04/2019 SS10 Equity Valuation / R29 Discounted Dividend Valuation / Lesson 5
/ Study Text Therefore, (in what is known as the PRAT model) SGR can be computed as: g = Profit margin x Retention rate x Asset turnover x Financial leverage
02/28/2019 SS14 Derivatives / R41 Derivative Strategies / Lesson 3 / Study Text 3 1 Bull Spreads
The net premium paid is cL– cH= $5.48 – $0.51 = $4.97 The profit and loss
values using formulas are:
Trang 2Page 2 www.efficientlearning.com/support/updates
2 Maximum loss = cL– cH, where neither of the calls is in-the-money, so the loss is limited to the net premium paid = $4.97
3 Breakeven point = Occurs in the region where the lower call is in-the-money The share price must rise enough above the lower exercise price to cover the net premium = XL+ (cL– cH) = $45.00 + $4.97 = $49.97