 # A Quick Overview on Probability Concepts: CFA Level I Notes

Get ready to dive into the world of probability! In this article, we’ll give you a quick overview of the Probability Concepts you need to know for the CFA Level 1 exam. So, buckle up and let’s get started!

## Definitions in Probability Concepts

Dip your toes into the fascinating realm of probability, mastering random variables, events, and odds. Discover empirical, subjective, and a priori methods to determine probabilities and make calculated decisions in finance.

► Conquer the world of probability concepts here.

## Joint Probability and Total Probability Rule

Embark on a thrilling journey through the realms of conditional and joint probability, and master the total probability rule. Learn to wield the multiplication and addition rules for probability calculations like a seasoned wizard.

► Cast probability spells like a pro here.

## Expected Values and Variance

Unleash your inner financial fortune-teller by mastering expected values and variance, and learn to navigate the world of conditional expected values with ease. It’s time to make better forecasts and financial decisions!

► Get your crystal ball rolling here.

## Portfolio Return and Variance, Covariance and Correlation

Hop aboard the roller coaster of portfolio return and risk, as you dive into variance, covariance, and correlation! Fasten your seatbelts and learn how to analyze and manage investment portfolios like a pro.

► Ride the wild world of portfolio management here.

## Bayes’ Formula

Wrap your head around the magic of Bayes’ Formula and learn to update probabilities like a pro! Plus, refresh your knowledge of the total probability rule, all while becoming a master of investment problem-solving.

► Unlock the power of Bayes’ Formula here.

## Principles of Counting

Embark on an exciting journey through counting principles and probability, learning how to use multiplication rules, factorials, and multinomial formulas. Sharpen your skills in permutations and combinations to solve probability problems with ease and confidence.

► Navigate the thrilling landscape of counting principles here.