Share with your network!

CFA Test

This is a small 6 question quiz on Economics Level 1 CFA. No registration required! Please click on the following link Level 1 CFA® Program Economics Diagnostic Test. This is a very fascinating subject once you have a good grip over the subject. There are two main divisions of economics: Microeconomics and Macroeconomics. Some important readings for the CFA Program Test are listed below:

  • Demand and Provide Analysis: Introduction
  • Demand and Supply Analysis: Shopper Demand
  • Demand and Provide Analysis: The Firm
  • The Firm and Market Structures
  • Economic Functions of Depository Institutions

Broadly 4 functions:

  • Acting as Financial Intermediaries – Receive deposits which are used to provide loans; Loans are provided at lower rate than what borrowers could have raised outside
  • Provide Liquidity – Offers long term loans from short term deposits
  • Risk Monitoring Institutions have better understanding and mechanism to monitor risk compared to individuals
  • Pooling of Individual Risks Minimize individual risk by pooling individual loans in well diversified portfolios