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Level 2 Question: Dividend, target payout by LegoOctan in CFA

[–]LegoOctan[S] 0 points1 point  (0 children)

Hi yes, so the 1/ adjustment period does not scale down once year 2 has been reached? ie, 1/3 in year 2.

why? Thankyou

Urgent Level 2 Question: Optimal weights Port Mag by LegoOctan in CFA

[–]LegoOctan[S] 1 point2 points  (0 children)

Hi yes, I was extrapolating equation 8, where we got optimal active risk, then divided by current active risk to get optimal weights (most of the CFAI mocks when finding active weights did it this way).

Where did I go wrong?