Simulation Methods for Portfolio Risk Analysis - CFA Level I Quantitative Methods

Learn essential simulation methods for the CFA® Level I exam's Quantitative Methods section through a 37-minute video lecture covering portfolio return analysis, risk assessment, and optimization techniques. Master the calculation and interpretation of expected values, variance, standard deviation, covariances, and correlations of portfolio returns using joint probability functions. Explore shortfall risk concepts, understand how to compute the safety-first ratio, and discover optimal portfolio selection using Roy's safety-first criterion. Gain practical knowledge aligned with the 2024/2025 CFA® Level I exam requirements for Learning Module 6 of the Quantitative Methods topic.