Forums
Illus 57
AFM
answered on 26-Feb-26 11:38
Sir, I have used the regression method - and got the same answer. Is it correct sir? [Video Time Stamp: 00:09]
latest answer
yes
Swathi S
CA Final
★ 975
1
140
Sharpe Model
AFM
answered on 26-Feb-26 09:32
With respect to single security - Return formula includes the error term. But with respect to Portfolio return - formula does not include error term - Why sir? [Video Time Stamp: 05:13]
latest answer
Good question. In a portfolio of stocks, unsystematic risk gets eliminated and only systematic risk is left
Swathi S
CA Final
★ 975
1
134
Illus 48
AFM
answered on 26-Feb-26 09:44
Sir, I couldn't understand the 2nd part of question. Can u please explain it. Also, whether ICAI gives mark if I solve in this way [Video Time Stamp: 21:03]
latest answer
Ye sit is correct check link of nov 19 SA from where i have taken this question Shared from *1FIN by Indigolearn* Final_SFM(O)_Suggested ans_Nov 2019 https://1fin.link/resource/1cd816c47cd04350a5b9710a511e7a59/cfd8d20828104cbbb490072b2f509634
Swathi S
CA Final
★ 975
1
126
Illus 43
AFM
answered on 25-Feb-26 16:36
Sir, Why have arrived the growth rate using CAGR formula ? [Video Time Stamp: 17:49]
latest answer
We can take avg of yearly growth rates or use CAGR - CAGR is more appropriate in our opinion
Swathi S
CA Final
★ 975
1
133
Black scholes
AFM
answered on 25-Feb-26 16:26
In Q6, they asked spot value, but i dont remember we deducting dividend while calculating spot in Black Scholes, because in formula i haven't seen that.
latest answer
There are two formulae for black Scholes, one where divided yield is available - you use this in real options another one normal formula in which Spot is adjusted we have solved both varieties of problems in class Refer illustrations 22 & 26 in notes and videos
Hrishikesh Pradhan
Qualified CA
★ 18K+
1
119
Illus 43
AFM
answered on 25-Feb-26 16:40
Sir, If the dividend payout ratio is constant, and the earnings grow at x%, then the dividend also grows at x%. In such case, CAGR of earnings and CAGR of dividend should be same , right? But in this sum, both were different. Why sir? [Video Time Stamp: 17:49]
latest answer
Historically the payout ratio has not been constant - hence the issue
Swathi S
CA Final
★ 975
1
180
Case 3
AFM
answered on 25-Feb-26 08:26
Sir, Rs.91667 - is it like pledging the portfolio and borrowing money - so that beta reduces? [Video Time Stamp: 16:30]
latest answer
Sort of
Swathi S
CA Final
★ 975
1
107
Real Option (Timinig)
AFM
answered on 25-Feb-26 12:11
Sir i have solved the problem as ICAI did in Illustration-27. Is this correct? I am not getting the clarity.
latest answer
Yes. Correct depending on how many numbers you have taken after decimal
G Chandrakanta
CA Final
★ 15K+
1
173
General Question
AFM
answered on 24-Feb-26 23:23
I am watching classes in a sequence as available in website, I just completed Derivatives Analysis and Valuation chapter and I am planning to skip Foreign Exchange Exposure and Risk Management chapter and continue with sequence. I will watch Foreign Exchange Exposure and Risk Management at last. Is it necessary to complete that chapter first, before watching Interest Rate Risk Management and so on.
latest answer
Ok Thank you sir
G Chandrakanta
CA Final
★ 15K+
2
132
Illus 29
AFM
answered on 24-Feb-26 21:17
Sir, Intrinsic value of Rs.29.069 is for the next year or at today based on next year circumstances? Only if we take this intrinsic value as at today - taking 2.5 as D1 will be correct know, sir? [Video Time Stamp: 05:16]
latest answer
29.069 is value based on next year circumstance Similar w was asked in May 24 have look at it as well
Swathi S
CA Final
★ 975
1
126