Time Value of Money (TVM) - computing Future Value (for the @CFA Level 1 exam)

[@afihaileywibowo1095]

Thank you so much for your generosity and effort to put up these videos. They are immensely helpful in my CFA level 1 journey🙏😊

[@letmeexplaincfa]

You are very welcome! I am so glad you are finding them useful!

[@henriquecardoso4481]

Hi! Im thinking about starting studies for cfa on january. Can you give me some tips? How are you studying for it? Are you using the cfa institute books or bought some course? Thank you in advance

[@sudiptomukherjee07]

Hello sir, I am from India and started to watch your videos and they have helped me a lot. Thank you so much sir.

[@letmeexplaincfa]

Thank you very much, I am happy to hear this!

[@cassandramcconnell9313]

Excellent video!! Much appreciated

[@letmeexplaincfa]

You are very welcome!

[@vaagnavakian508]

Once you work out the 2year value as per PV*(1+r)^n, there is no need to do any further calculations, since from remaining B and C, C is also automatically eliminated by the means of common sense: it is impossible to have a compound value of 5 year investment less that 2 year, hence the correct answer is B.

[@letmeexplaincfa]

Yes, correct, spoting these obvious relationships is how you save time on the exam

[@israelmg1749]

Great video!!

[@letmeexplaincfa]

Thank you!

[@chandellebody6278]

When i try to use the TVM, it keeps giving me the wrong amount. Every time i try a practice problem from the text and, for instance, with your problem above, it gave me 50,585 for the two year solution. 😭 Any ideas on why?

[@letmeexplaincfa]

Yes, go to the P/Y function by pressing 2nd I/Y and make sure you have 1 entered for P/Y (I think you now have P/Y = 12). You can do this by entering 1 and pressing Enter.

[@eesaasimat8723]

Im taking the CFA L1 2024 and I need to go over TVM, is the content above suitable for this exam ?

[@letmeexplaincfa]

Yes, it’s relevant👍

[@Dub105]

Thank you

[@arslan_TM]

Hello Sir May I know where do teach physically and which country?

[@letmeexplaincfa]

Hi, thank you for your message. I teach physically but on in-house courses for financial institutions and it’s not on CFA. Topics. This is in Poland. My only CFA is this channel.

[@mostafaemad740]

I have to watch this playlist or it is enough to watch fixed income videos ?

[@letmeexplaincfa]

If you are ok with the TVM worksheet on your calculator, you can proceed directly to Fixed Income.

[@marketsnipers]

Legend

[@letmeexplaincfa]

🙏

[@mohammedishtiyaq3127]

From where can we get the factor of 7 i.e., 0.7

[@letmeexplaincfa]

This is the annual rate of return - 7% or 0.07 as provided in the question :)

[@bandar9635]

How can i do the same your way of explain in board like this please

[@letmeexplaincfa]

You need to construct a lightboard :) I made mine myself. Here are some inspirations: revolutionlightboards.com/ and www.lightboard.info/

[@bandar9635]

@@letmeexplaincfa thank you so much 🌹🌹🌹

[@letmeexplaincfa]

You’re welcome 👍

[@JattTayaraa]

hello sir, could you please tell how to join as a member?

[@letmeexplaincfa]

Hi, the Join button should be visible if you visit the channel homepage on a computer (it is typically not possible via a phone). Please note however, that this feature is not possible in all countries. The locations for which this is enabled may be found here: support.google.com/youtube/answer/6307365?hl=en#zippy=%2Cpremium-memberships-available-locations

[@ibrahimnadeem1064]

Do you have any group i.e Telegram, Whatsapp or Facebook?

[@letmeexplaincfa]

Hi Inbrahim. Not at the moment. I may start a group/course for exam revision in the future, if this channel grows in size :)

[@mammmmmoth]

Great def add me. Taking my test in Aug. your examples are a huge help!!! Thank you.

[@KritiMohta]

@@letmeexplaincfa please start, your teaching style is awesome!

[@vincentvalentine2939]

My calculator is giving me 51,765

[@letmeexplaincfa]

Are you getting this result when using the TVM worksheet?