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All posts for the month October, 2014

Degrees of Freedom

Posted by Bill Campbell III, CFA on October 24, 2014
Posted in: Level I Quantitative Methods, Level II Quantitative Methods.

Suppose that, for reasons known only to yourself and your therapist, you need to know the average height of all giraffes in the world.  Desperately.  You face a number of obstacles, not the least of which is that there are estimated to be about 80,000 giraffes in the world, and giraffes are notoriously difficult to […]

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Student’s t-Distribution

Posted by Bill Campbell III, CFA on October 24, 2014
Posted in: Level I Quantitative Methods.

Before reading this article, make sure that you have read the article on probability distributions in general. The Student’s t-distribution has an interesting history.  It was developed by a gentleman who worked for Guinness Breweries in Dublin, Ireland, who used it for statistical tests on the ingredients for Guinness beer; apparently Guinness preferred that their […]

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CFA® Level I Quantitative Methods Membership, CFA® Level I Membership

This will give you access to this and all other articles at that membership level.

Confidence Intervals

Posted by Bill Campbell III, CFA on October 17, 2014
Posted in: Level I Quantitative Methods.

A confidence interval is nothing more than a range in which we hope (and, with some probability, expect) some value to lie.  For our purposes, the values for which we will construct confidence intervals will be parameters for probability distributions.  Specifically, we’ll construct confidence intervals for: The mean of a (given) probability distribution (population) An […]

This article is for members only.  You can become a member now by purchasing a

CFA® Level I Quantitative Methods Membership, CFA® Level I Membership

This will give you access to this and all other articles at that membership level.