Audio wrote:
Nice bump. I'm actually debating whether I'll take L3 next year or not during my last year. I could do it in terms of workload, but do I want to sacrifice my last months of freedom and fun for... the CFA?? Tough call. Flip side is that it's going to become really hard during work.
What I might do is take a middle road: prepare a bit, do exercises, and take the exam. If I pass, great. If I fail, it's a learning curve for the year after.
Just be forewarned, Level III is much different than LI and LII. It is much more touchy feely, gobbily goo. However, that doesn't mean it's any easier! In fact, I'd argue that LIII is equally as hard, if not more difficult than LII.
There is a bit on behavioral finance, and a HUGE amount of personal and institutional portfolio management. There are two main issues that you will come up against. 1) This isn't a plug and chug type of exam. You really need to substantiate your answers, especially on the morning (essay) portion of the exam. Furthermore, there aren't as many concrete equations, formulas, concepts, etc. to memorize so you will have to do A LOT of practice problems to make sure you understand the material. 2) Since this is a more touchy feely test, there is a lot more objective material. When you read the behavioral finance section, some things make sense, while on others may have you arguing with the material as you are reading it! Same thing applies for Portfolio Management (which accounts for 45% of the exam). I could add to this some more, but I think you get the general idea.
I'm not trying to scare you off, but really I don't think you can BS your way through LIII. I have two friends that I took LI and LII with me and both of them failed LIII on their first attempt despite spending significantly more time studying LIII than they had LII. They're both smart cookies too (one works in product management at PIMCO, while the other is a 1Y MBA at Duke with a masters degree in accounting that used to conduct due diligence on hedge funds).
Also, as another sidenote, when I passed LIII in June 2007, the Schweser Notes were awful (they were pretty solid for LI and LII, in my opinion).
pguard is an excellent resource (as well as a few others on here), so let us know if you have questions.