347 647 9001+1 714 797 8196Request a Call
Call Me

Make your own FRA Mind Map

May 13, 2015
, , ,

The CFA exams are so near and your preparations would have entered into the last leg now. It is now time to accelerate and revise & a widely used tool is a Mind Map.

Creating FRA mindmaps

What should a Mind Map do?

  •  Provide you with a concise version of the topic at hand
  •  Outline all the fundas at one place
  •  Help you ‘revise’. Remember Mind Maps aid in ‘revision’ & are not a ‘replacement’ for understanding the topic

Great! I have so many Mind Maps available from different sources (Videos, Notes, Forums).

Let me download a few and I can save so much time!

thing you should avoid while creating mindmap

Watch out for falling to this temptation. While it is definitely easy to download, it would be good make the Mind Maps for yourself. Here’s why:

  • It will be customised to your areas of weakness & strengths.
  • It will have a better recall value as you will be writing it instead of just reading.
  • It can be in the language of your choice

Here are a few tools & techniques that would help you in making your own FRA Mind Map

  • Funnel Approach
Funnel approach of creating FRA mindmap

Treat the Income Statement and Cash Flow Statements as a Funnel. It will help you remember various measures of profit & associated ratios

  • Cycle Approach
Cycle approach of creating FRA mindmap

The operations of a business can be looked at it as a wheel which needs to keep turning to keep generating cash (liquidity). This is a good way to recall the working capital linked formulae & the turnover ratios.

  • Cause & Effect Method
Cause and effect approach of creating FRA mindmap

Once you link the impact of the Inventory valuation method on any one of the profit measures; rest can be derived automatically. This will greatly reduce the number of formulae you need to remember

  • Hierarchy Table

Use a simple hierarchy table to capture various factual data.

Hierachy table approach of creating FRA mindmap
  • Branching Method

This can be effectively used to concise large volume readings.

Branching method of creating FRA mindmap

Keep the following tips in mind while making a Mind Map of your own:

  • A visual representation helps faster recall of the topic.
  • Use a logical flow of points – Half the burden of remembering stuff will be gone if the underlying logic is presented properly.
  • Use multiple colors for better impact – eg. Incomes or Positive effect in Blue & Expenses or Negative effect in Red.
  • Keep it simple & neat – Clutter Confuses.
  • Go by the flow in which you have understood the topic so that revision will follow the same flow. If you remember a particular example while learning, use the same in your mindmap.
  • Shrink the material to 1/10th its size. For eg, if FRA reading is 300 pages try to restrict the mind map to ~25-30 pages. This will make the volume monster seem ‘tame’ able.
  • Highlight areas that you find difficulty in recalling while running through the mind map – It means there is a gap here in your understanding and needs further readings.


About the Author

Currently a freelance faculty on Accountancy & Finance, Parvathi has been a career banker. With stints in ING & ICICI Bank, she has worked extensively in the Debt Capital Markets & Loan Syndication business. She is proficient in sales & structuring of Loans & other Fixed Income instruments based on analysis of companies’ financials & their funding requirements. A Chartered Accountant by profession, she has also completed certifications like CFA & FRM.


Global Association of Risk Professionals, Inc. (GARP®) does not endorse, promote, review or warrant the accuracy of the products or services offered by EduPristine for FRM® related information, nor does it endorse any pass rates claimed by the provider. Further, GARP® is not responsible for any fees or costs paid by the user to EduPristine nor is GARP® responsible for any fees or costs of any person or entity providing any services to EduPristine Study Program. FRM®, GARP® and Global Association of Risk Professionals®, are trademarks owned by the Global Association of Risk Professionals, Inc

CFA Institute does not endorse, promote, or warrant the accuracy or quality of the products or services offered by EduPristine. CFA Institute, CFA®, Claritas® and Chartered Financial Analyst® are trademarks owned by CFA Institute.

Utmost care has been taken to ensure that there is no copyright violation or infringement in any of our content. Still, in case you feel that there is any copyright violation of any kind please send a mail to and we will rectify it.

Popular Blogs: Whatsapp Revenue Model | CFA vs CPA | CMA vs CPA | ACCA vs CPA | CFA vs FRM

Post ID = 75431