Page 35 - FINAL CFA SLIDES DECEMBER 2018 DAY 3
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Session Unit 2:
                                                                                                           9. Probability Concepts
    LOS 9.f: Calculate and interpret 1) the JP of two events, 2) the p that at least one of two

    events will occur, given the p of each and the JP of the two events, and 3) a JP of any
    number of independent events, p.  178


     Using empirical probabilities, suppose we observe that the DJIA has closed higher on two-

     thirds of all days in the past few decades. Furthermore, it has been determined that up

     and down days are independent. Based on this information, compute the p of the DJIA
     closing higher for five consecutive days.
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