Why should I choose AnalystNotes?
AnalystNotes specializes in helping candidates pass. Period.
Basic Question 7 of 8
The Generalized Autoregressive Conditional Heteroskedasticity (GARCH) model extends the ARCH model by including:
A. Only lagged residuals.
B. Both lagged residuals and lagged conditional variances.
C. Exogenous variables.
D. No additional terms.
User Contributed Comments 0
You need to log in first to add your comment.
I used your notes and passed ... highly recommended!
Lauren
Learning Outcome Statements
explain autoregressive conditional heteroskedasticity (ARCH) and describe how ARCH models can be applied to predict the variance of a time series;
CFA® 2025 Level II Curriculum, Volume 1, Module 5.