L1 AI Tutor

You can access AI tutor from any lesson or quiz. Simply click on the chat button at the bottom left of the screen.

Possible Use Cases (non-exhaustive)

1. Conceptual Understanding

• “Explain the difference between IFRS and GAAP.”
• “What is the Capital Asset Pricing Model (CAPM)?”
• “How do you calculate the weighted average cost of capital (WACC)?”

2. Formulas and Calculations

• “Show me how to calculate the Sharpe ratio.”
• “What formula is used for calculating bond duration?”
• “How do I compute the net present value (NPV) of an investment project?”

3. Application of Concepts

• “Provide an example of a hedging strategy using futures.”
• “How would you apply the Black-Scholes model in real-world option pricing?”
• “Can you demonstrate the process of constructing an efficient frontier?”

4. Interpretation of Financial Statements

• “How do you analyze an income statement for profitability?”
• “What indicators can you derive from a cash flow statement?”
• “Explain how to assess financial health from a balance sheet.”

5. Ethics and Professional Standards

• “What are the main components of the CFA Institute’s Code of Ethics?”
• “How should a CFA handle conflicts of interest?”
• “Explain the Standard of Professional Conduct relating to investment analysis.”

6. Exam Strategy and Tips

• “What is the best way to manage time during the CFA exam?”
• “Can you suggest effective strategies for tackling the Ethics section?”
• “How should I prioritize topics for study based on their weight in the exam?”

7. Real-Time Doubt Clearance

• “I’m confused about the treatment of operating leases under new accounting standards.”
• “Why is currency risk important in global investment portfolios?”
• “What are the implications of high volatility on portfolio diversification?”

8. Test Understanding

• “Can I have a practice problem related to fixed income securities?”
• “Provide a case study for analysis from the perspective of corporate finance.”

Known Limitations

Scope of Knowledge: The AI Tutor is specifically trained and fine-tuned to answer questions regarding the CFA curriculum. Please do not ask unrelated questions.

Context Awareness: AI Tutor cannot see your screen or know which lesson you are currently on. Do not make such assumptions when querying AI Tutor.

Interactive Limitations: You may experience limitations with text-based interactions, as the AI Tutor might not always convey complex concepts as effectively as visual or verbal explanations would. This could impact understanding of visually complex topics like chart analysis or financial modeling.

Complex Mathematical Handling: You might encounter inaccuracies when asking the AI Tutor to perform complex mathematical calculations, such as those required by a Time Value of Money (TVM) calculator. Do not use AI Tutor as a calculator. If you need to use numerical outputs from AI Tutor, always double check the numbers with a proper calculator.

Using AI Tutor Functions