Errata

Revised 15 February 2025

When I discover an error in my Survivor’s Guide to CFA Institute Command Words, in my Level III List of Lists, in my Investment Objectives for Institutional Investors, or in one of my mock exams, (or a candidate discovers one and tells me about it), I’ll post an erratum here and make the correction immediately.  Therefore, if you see an erratum here, the error may not appear in your copy; I may have corrected it before you downloaded your copy.  If your copy has an error listed here, please download a new copy; that error will have been corrected.

To make the corrections easier to spot, I’ve shown the old, incorrect text in blue and the new, correct text in red.

2025 List of Lists

Core Curriculum, Overview of Asset Allocation: A new list was added: “Strategic Considerations in Rebalancing“

Core Curriculum: Added lists for Swaps, Forwards, and Futures Strategies.  (Not sure how I missed that reading before.)

2025 Level II Mock Exam #1 Morning Session

2025 Level II Mock Exam #1 Afternoon Session

Question 2, Portfolio Management Pathway, Case Scenarios: The portfolio value at the end of paragraph 1 should be USD 207,001,500, not USD 203,653,500.

2025 Level III Mock Exam #1 Morning Session

Question 6, Portfolio Management Pathway: Case Scenarios, Questions and Answers: This question has been replaced. Download the latest files to see the full changes.

Question 6.4, Private Markets Pathway, Full Guideline Answers: the correct answer is b, not c.  Download the latest files to see the changes to the explanation.

Question 8.3, Full Guideline Answers: The active return should be 2.23%, not 1.77%.

2025 Level III Mock Exam #1 Afternoon Session

Question 7, Private Markets Pathway, Case Scenarios: Exhibit 1, Exits, Cost Basis, 2020 and 2021 should be, respectively, BHD 6,000,000 and BHD 13,000,000, not, respectively, BHD 7,000,000 and BHD 12,000,000.

Question 7.1, Private Markets Pathway, Case Scenarios, Questions, Full Guideline Answers: the question should refer to management fees, not carried interest.  Download the latest files to see the full changes.

Question 7, Portfolio Management Pathway, Questions, Full Guideline Answers, Short Answers: The third and fourth components of the question (“Expected price change from investor’s expected change in yield and yield spread“, and “Expected credit loss“) have changed to “Expected price change from investor’s expected change in yield“, and ” Expected price change from investor’s expected change in yield spread“, respectively.  Download the latest files to see the full changes.

Question 10.2, Portfolio Management Pathway, Full Guideline Answers: The calculation for the profit should read, in part, “XCD 2,068,150“, not “XCD 2,061,800“.

2025 Level III Mock Exam #2 Morning Session

Question 4.3, Full Guideline Answers: The calculation for Problem 2 should be BOB 476 / BOB 7,000, not TMT 238 / TMT 3,500.

2025 Level III Mock Exam #2 Afternoon Session

Question 3, Portfolio Management Pathway, Full Guideline Answers: The answers given were mistakenly from the Private Markets pathway.  They have been replaced with the correct (Portfolio Management pathway) questions.  Download the latest files to see the full changes.

Question 3.3, Private Markets Pathway, Questions, Full Guideline Answers: The answer choices have been changed, and the explanation has been corrected.  Download the latest files to see the full changes.

Question 6.4, Portfolio Management Pathway, Questions, Full Guideline Answers: “estimated effective spread” should be “effective spread transaction cost estimate“.

2025 Level III Mock Exam #3 Morning Session

Question 6, Case Scenarios: The option strike prices and premia in Exhibit 1 are incorrect.  Download the latest files to see the full changes.

Question 7, Case Scenarios: In Exhibit 1, the value of the swap on 17 Jun 2024 should be EUR 0, not MUR 0.

2025 Level III Mock Exam #3 Afternoon Session

Question 4, Case Scenarios: The first paragraph has largely been rewritten.  Download the latest files to see the full changes.

Question 4.1, Questions, Full Guideline Answers: The question and answer have been rewritten.  Download the latest files to see the full changes.

Question 8, Case Scenarios: Statement 3 should read, in part, “. . . BBD 6,200,000 . . . .“, not “. . . BBD 3,100,000 . . . .“.

Question 8, Case Scenarios: Statement 5 should read, in part, “. . . BBD 10,000,000 . . . .“, not “. . . BBD 5,000,000 . . . .“.

Question 11.4, Full Guideline Answers, The explanation has the names of Benaiah and Caines reversed: the name at the end of the first paragraph should be “Caines“, not “Benaiah“, and the name at the end of the second paragraph should be “Benaiah“, not “Caines“.

2025 Level III Mock Exam #4 Morning Session

2025 Level III Mock Exam #4 Afternoon Session

2025 Level III Mock Exam #5 Morning Session

Question 1.1, Questions, Full Guideline Answers: “Sharza” should be “Zimmerman“.

2025 Level III Mock Exam #5 Afternoon Session

Question 8.3, Full Guideline Answers: The first line should read, “Ahamada should hedge the currency exchange rate risk.“, not, “Ahamada should not hedge the currency exchange rate risk.“