The CFA Level 2 Quick Sheet is designed for:
Would you like this as a or want me to expand any specific reading into a mini-summary? cfa level 2 quick sheet
| Concept | Formula | |--------|---------| | Sharpe ratio | (Rp – Rf) / σp | | Treynor | (Rp – Rf) / βp | | Jensen’s α | Rp – [Rf + β(Rm – Rf)] | | WACC | (E/V)Re + (D/V)Rd(1–t) | | CAPM | Rf + β(Rm – Rf) | | Sustainable growth | ROE × retention ratio | | Conversion ratio | Par value / conversion price | | Forward premium/discount | (F – S)/S × (360/days) | The CFA Level 2 Quick Sheet is designed
A formula is useless if you don't know when to apply it. Pair formulas with "trigger words" from the vignette. Summary of Key Ratios to Memorize Justified P/E: H-Model: For multi-stage growth valuation. WACC: Summary of Key Ratios to Memorize Justified P/E:
Equity Method: Investment account = Cost + % Earnings - % Dividends.