Browse CFA Level 2

Chapter 9: Panel Data and Multivariate Techniques

In this section

  • Pooled OLS, Fixed Effects, and Random Effects Approaches
    A detailed exploration of panel data techniques—comparing pooled OLS, fixed effects, and random effects models—along with key guidelines for deciding which approach to use in practice.
  • Differences-in-Differences and Treatment Analysis
    Learn how to estimate causal treatment effects in panel data settings using Differences-in-Differences (DiD), interpret the spillover of policy interventions, and handle pitfalls with parallel trends and unbalanced data.
  • Dealing with Entity Clustering in Panel Data
    Learn how to detect and correct for correlated errors within entities using cluster-robust standard errors, ensuring more accurate inference in panel data regression models.
  • Multivariate Approaches for Multi-Factor Modeling
    Explore how multi-factor panel regressions offer a powerful lens for analyzing returns across entities over time, including the interpretation of factor loadings, alpha, and key considerations such as multicollinearity and time-varying exposures.
  • Dynamic Panel Data and GMM Estimation
    Explore how dynamic panel models incorporate lagged dependent variables, the challenges of Nickell bias, and how Generalized Method of Moments (GMM) techniques like Arellano-Bond and Blundell-Bond address endogeneity.
  • Item Set Examples with Panel Data Regressions
    Explore practical CFA-style vignettes demonstrating fixed vs. random effects, differences-in-differences, clustered standard errors, multi-factor panel regressions, and dynamic GMM methods.
Friday, April 11, 2025 Monday, January 1, 1

Important Notice: FinancialAnalystGuide.com provides supplemental CFA study materials, including mock exams, sample exam questions, and other practice resources to aid your exam preparation. These resources are not affiliated with or endorsed by the CFA Institute. CFA® and Chartered Financial Analyst® are registered trademarks owned exclusively by CFA Institute. Our content is independent, and we do not guarantee exam success. CFA Institute does not endorse, promote, or warrant the accuracy or quality of our products.