[CFA Level I] 10, Diligence and Reasonable Basis for Research

This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.

In this episode you will learn:

- Core requirements of Standard V(A) Diligence and Reasonable Basis

- Why a reasonable basis does not require absolute certainty in investment outcomes

- Essential steps for evaluating and vetting third-party research reports

- How to address testing data, quantitative models, and overfitting risks

- A simple decision rule and exam trap analysis for research diligence

This independent study resource helps candidates prepare for the CFA Level I exam. Access more tools at https://open-exam-prep.com/practice/cfa-level1 and https://www.youtube.com/@Open-exam-prep .

Sources checked: October 12, 2026

https://www.cfainstitute.org/sites/default/files/2027levelitopicoutline_online.pdf

https://www.cfainstitute.org/standards/professionals/code-ethics-standards