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CFA Glossary of Terms and Formulas

Use this glossary to search CFA terms, formulas, and finance concepts while you study. Browse alphabetically, search for a specific term, or review short definitions across the CFA Program.

This page is built for candidates preparing for CFA Level I, Level II, or Level III.

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A credit strategy approach that involves selecting the individual bonds or issuers that the investor views as having the best relative value from among a set of bonds or issuers with similar features.

The notion that people have informational and cognitive limitations when making decisions and do not necessarily optimize when arriving at their decisions.

Box spread

Level III

An option strategy that combines a bull spread and a bear spread having two different exercise prices, which produces a risk-free payoff of the difference in the exercise prices.

An index that is intended to measure the performance of an entire asset class. For example, the S&P 500 Index, Wilshire 5000, and Russell 3000 indexes for US common stocks.

COMMON QUESTIONS

FAQs About KeyPoint Learning's CFA Glossary

A CFA glossary is a reference list of terms, formulas, and finance concepts that appear across the CFA Program. It helps candidates review key ideas while studying for Level I, Level II, or Level III.

CFA Glossary

This glossary is designed to support candidates across the CFA Program. Where level information is available, terms can be labeled by CFA Level I, Level II, or Level III.

CFA Glossary

Yes, formula-related terms may be included in the glossary. For a more focused formula review, use the CFA Formula Sheet resource.

CFA Glossary

No. It is better to understand important terms in context than to memorize every definition by itself. Focus on how each concept works, where it appears in the curriculum, and how it may be tested.

CFA Glossary

You can explore KeyPoint Learning’s CFA resources for study planning, calculator guidance, formulas, GIPS Standards, and CFA Program information.

CFA Glossary
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