Success in today's complex world of alternative investments (AI) demands a strong foundation of knowledge and an unwavering dedication to professionalism. But up until a few years ago, no structured program had existed to address these needs. Sponsored by the CAIA Association(r), the Chartered Alternative Investment Analyst (CAIA) designation is the only educational standard uniquely designed for individuals specializing in alternative investments. Covering hedge funds, real estate, private equity, commodities and managed futures, and credit derivatives, the CAIA charter demonstrates one's commitment to professionalism and command of AI's unique fundamentals--setting you and your firm apart from the competition. The CAIA program is comprised of a two-tier exam process (Level I and Level II) through which you may earn the CAIA charter. The Level I exam challenges your understanding of the alternative investment market's tools and terms, and tests your knowledge of various trading strategies and their performance characteristics. The Level II exam assesses how you would apply the knowledge and analytics learned in Level I within a portfolio management context. Both levels incorporate segments on ethics and professional conduct, which are essential components of the CAIA program. CAIA Level II: Advanced Core Topics in Alternative Investments contains virtually all the material on alternative investments a potential Level II candidate would need to know as they prepare for the exam--a multifaceted assembly of questions and problem-solving tasks. Since the tools and terms introduced in Level I provide the basis for the second level of this program, the information found here will continue to focus on the issues associated with the alternative investment arena, but in greater depth and in the context of risk management and asset allocation. A required reading for one of today's most demanding exams, this comprehensive resource: Discusses advanced topics in alternative investments--from securitization and structured products to trend-following strategies and fund management techniques Includes segments on ethics and professional conduct--essential components of the CAIA program Focuses on the analysis and application of essential strategies involved in each alternative asset class Addresses the unique attributes associated with the alternative investment space Offers a study guide outlining learning objectives and keywords, available at www.caia.org/program/studyguides Since its inception in 2002, the CAIA program's diverse curriculum has benefited a wide array of individuals, from institutional investors, investment advisors, AI fund managers, and administrators to accountants, lawyers, and academics. So if you're serious about receiving the CAIA charter, take the time to understand the insights offered here. This book covers the main areas of hedge funds, private equity, commodities, real estate and managed futures. The book shows readers how to use investment analytics to examine the fundamentals of each alternative asset and then shows the reader how to apply these analytics within an asset allocation and decision-making framework. It also incorporates segments on ethics and professional conduct. The book provides in-depth material on risk management and portfolio optimization, covering areas such as asset allocation & portfolio oversight style analysis risk management alternative asset securitization secondary market creation performance and style attribution indexation and benchmarking "Alternative investments have become the 'brooding omnipresence' of modern finance. As such, they are at the core of any significant discussion relating to asset allocation, risk management, and portfolio design. The topics outlined and discussed in this text provide a meaningful stop on the road toward understanding the complexities and rewards of these instruments."--Garry Crowder, Director, Institute for Alternative Investment Education and Research Sponsored by the CAIA Association(r), the Chartered Alternative Investment Analyst (CAIA) program consists of a two-tier exam process (Level I and Level II) through which you may earn the CAIA charter. The Level I exam challenges your understanding of the alternative investment market's tools and terms, and tests your knowledge of various trading strategies and performance measurements. The Level II exam assesses how you would apply the knowledge and analytics learned in Level I within an asset allocation framework. CAIA Level II: Advanced Core Topics in Alternative Investments contains virtually all of the material on alternative investments that potential Level II candidates would need to know as they prepare for the exam--a multifaceted assembly of questions and problem-solving tasks. Since the tools and terms introduced in Level I provide the basis for the second level of this program, the information found here will continue to focus on alternative investments--hedge funds, private equity, commodities and managed futures, and credit derivatives--but in greater depth and in the context of risk management and asset allocation. Whether you're a seasoned professional looking to explore new areas within the alternative investment arena or a new industry participant seeking to establish a solid understanding of alternative investments, CAIA Level II: Advanced Core Topics in Alternative Investments is the best way to achieve these goals, and the smartest way to prepare for such a demanding exam. Take your first steps toward attaining the CAIA charter by picking up CAIA Level I: An Introduction to Core Topics in Alternative Investments