Alternative surplus allocation
I see from the cheat sheet that there are 2 alternative surplus allocation methods: Internal model & TVaR Approach. But i don't see any details in the wiki. Do I need to understand the details of these 2 methods or just need to know the advantage?
Comments
No, you don't need to know the details. And it's likely the advantages of the alternative methods wouldn't be asked either but we threw it into the cheat sheet just for completeness.
There is plenty of other good testable material from the IEE chapter so don't spend too much time on those alternative methods.