This note points out that realized compound yield (RCY) has a similar concept from capital budgeting; namely, modified internal rate of return. Recognizing this relationship makes it easier to teach the concept and allows students to easily compute RCY using a financial calculator.

The CFA Institute and the CFP Board of Standards provide professional certifications in the field of finance. In this paper, I provide my experience with the CFA and CFP programs in order to give other professors some insight into the process of attaining the designations. I hope to provide answers to some of the questions that other faculty…