Given time and brain storage constraints (and a frankly tedious day trudging through Derivatives R47-52) I made the decision to exclude the BSM model from memory, as I feel there is a better payoff spending that time perfecting some equity or FRA material.
Anyway, my question to others is whether there are any other particular areas where you feel (or have perhaps learned through experience) are not worth the time, effort and valuable memory space?
Hey, a little (or even a moderate amount) of paranoia is a good thing :smiley:
And don’t get me wrong, I still worked through the BSM, but what I mean is that I’m not going to memorise the formula (at least not yet – I found with L1 that there were some formulas that stumped me on the first read, but when I Googled for a non-CFA explanation it made more sense).
If an entire item set comes up dedicated to BSM (and the formula isn’t provided)….well then I’ll be throwing some educated darts!