Team Pristine celebrates the Republic Day with the rest of India. Students, please bear with us we will not be as prompt with our responses! Today also happens to be Ganesh Jayanti,  which is the birthday of Lord Ganpati. Ganesh happens to be our favorite god not only because of his appetite for sweets, but [...]

MX Capital is a boutique investment bank focused on Private Equity, M&A and Strategic Advisory. The Associate will work on and be exposed to the entire deal life cycle – from sourcing to execution. Daily tasks include but are not limited to: financial modelling, preparing pitchbooks / presentations, researching & analysing sectors / companies, coordinating with third parties (e.g. due diligence agencies), coordinating process for deals, etc.

There is no secret formula that can help you navigate through the FRM program and pass the test, but an organized, disciplined approach will help you pass each level of the program and ultimately achieve your goal. Don’t waste time, get going: Allow a minimum of one week for each study session spread over several [...]

The Asset Schedule shows the outflow of cash from the balance sheet, which is registered in the P&L, of the company. You will be basically learning how to put the costs of buying the assets in the statements. The cost of buying the asset is recognized through a term called Depreciation. This depreciation is added to the last year’s accumulated depreciation and also recognized in the P&L account. So you will be learning how the asset schedule is built and linked with P&L and Balance Sheet.

What is financial modeling? Financial modeling is creating a complete program/ structure, which helps you in coming to a decision regarding investment in a project/ company. Financial models are abstract representations of a financial decision making. Now these decisions can be derived on a simple piece of paper or in tools such as Excel, MATLAB [...]

Out of a group of 100 patients being treated for chronic back trouble, 25% are chosen at random to receive a new, experimental treatment as opposed to the more usual muscle relaxant-based therapy which the remaining patients receive. Preliminary studies suggest that the probability of a cure with the standard treatment is 0.3, while the [...]

Check your preparation level and strategy with FRM course planner from Pristine. This course planner will generate your preparation hours required for each section of FRM Exam. To download the planner, please right click on the the link FRM-Exam-Planner2012 and save the excel.

FRM Summarized Recordings – USD 19 Hope your preparation for the FRM Exam is going well, given the large number of concepts and formulas involved in the FRM Examination, one is bound to be lost in the maze. If we take a detailed look, there would be more than 1000 concepts and formulas to be [...]

FRM Exam Level I and Level II
GARP has changed the pattern of the FRM Exam in 2009. The first change is that the exam would be conducted in two levels and the second change is that the exam would be conducted in month of May and Nov.
In 2009, there was an option to give either the Level I of the exam of the full exam. Atleast in the initial communication it appeared that one could give Level II only after passing Level I. That meant that if you appeared for Level I in May, then you can appear for Level II in November only. But there seems to be slight change in the final pattern of the exam.

Quantitative Analysis Questions and Solutions
Which of the following is true?
If the correlation coefficient is zero, the variables are independent variables
If the variables X and Y are related as Y = e^2x, then if X is normally distributed, then Y^2 is log normally distributed
X and Y = Ln(x) would have correlation coefficient as 1
If the variables are independent, then their correlation coefficient is 1
Solution:
Answer: B
A is not correct. For example, if the relation is harmonic, then the correlation can be zero by they are clearly not independent
D is not correct,
C Correlation coefficient is 1 only for linear relationships
To check the signifiance of regression variables, you would consider which of the following with highest priority
p-value of regression variable
R-Square value
R value
Standard Error of Regression Variable
Solution:
Answer: A
If we are looking for significance of variables, then p-value is the most critical factor.