ABFM is the smallest component in the CAIIB exam, with just 25 chapters to cover. Scoring 50+ marks in ABFM is possible by following the right strategy and practicing both concepts and numericals. But do you have a strategy that fits your busy working schedule?
Below, we’ll provide a practical study plan for the CAIIB ABFM exam that will help you prepare in a limited time. This strategy includes access to the latest syllabus, covers key topics for each module, and recommends books and resources to help you qualify this paper..
CAIIB ABFM Preparation Strategy
Before getting started with the ABFM preparation strategy, it’s crucial to familiarize yourself with the latest CAIIB ABFM syllabus. Read the article, “CAIIB Latest Syllabus” to get familiar with CAIIB ABFM syllabus.
1. Identifying Important Topics of ABFM for CAIIB
The first step of your ABFM preparation strategy is identifying high-weightage topics. To help you identify these, we have analyzed the PYQs of ABFM.
Based on our analysis, here are the module-wise most important topics of ABFM.
| CAIIB ABFM Important Topics Module A | |
| Chapters | Topics |
| Basics of Management | Functions of Management Management Thoughts & Approaches Business Environment Analysis |
| Planning | Fundamentals of Planning Plan Components |
| Organizing | Types of Organisations Organisational Change Conflict Dynamics |
| Staffing | Facets of Staffing Knowledge and Learning Management Performance Appraisal |
| Directing | Characteristics of Directing Leadership, Motivation, Communication, Supervision |
| Controlling | Characteristics of Controlling Relation between Planning and Control |
| CAIIB ABFM Important Topics Module B | |
| Chapters | Topics |
| Sources of Finance and Financial Strategies | Alternative Financing Strategies |
| Financial and Operating Leverages | Degree of Financial Leverage, Its Behaviour Degree of Operating Leverage, Its Behaviour |
| Capital Investment Decisions | Estimation of Project Cash Flows Social Cost Benefit Analysis |
| Capital Budgeting for International Project Investment Decisions | Foreign Investment Analysis Approaches for Evaluation of Overseas Projects |
| Adjustment of Risk and Uncertainty in Capital Budgeting Decision | Sources & Perspectives on Risk Sensitivity & Scenario Analysis Risk Analysis in Practice |
| Decision Making | Decision Making using Cost-Volume-Profit (CVP) Analysis, Decision Making using Activity Based Costing (ABC), Ethical and Non-Financial Considerations Relevant to Decision Making |
| CAIIB ABFM Important Topics Module C | |
| Chapters | Topics |
| Corporate Valuation | Approaches to Corporate Valuation |
| Discounted Cash Flow Valuation | Approaches to Discounted Cash Flow Models |
| Other Non-DCF Valuation Models | Equity Valuation Multiples Model Book Value Approach Model |
| Special Cases of Valuation | Valuation of Cash and Cross Holdings, Warrants and Convertibles Cyclical & Non-Cyclical Companies |
| Mergers, Acquisitions and Restructuring | All the topics in the chapter are very important |
| Deal Structuring and Financial Strategies | Tax and Accounting Considerations Tax Reliefs & Benefits in Case of Amalgamation in India Financing of Cross Border Acquisitions in India |
| CAIIB ABFM Important Topics Module D | |
| Chapters | Topics |
| Hybrid Finance | Advantages and Disadvantages of Hybrid Securities Types of Hybrid Securities Features of Convertible Debentures |
| Startup Finance | Benefits to Startup Under the Startup Plan Challenges Faced by Startups State Startup Policy Funding Schemes and Programmes, Programs Running in 2022, International Challenges and Bridges |
| Private Equity and Venture Capital | Characteristics of Venture Capital Investments Characteristics Shared by Private Equity and Venture Capital, as well as Their Key Distinctions Advantages and Disadvantages of Venture Capital Funding Benefits and Drawbacks to the Practice of Private Equity Companies in India that Deal in Private Equity Growth of India’s Private Equity Market Legal and Administrative Structure of India Crucial Stages in the Process of Investing in Private Equity |
| Artificial Intelligence | Applicability of Artificial Intelligence Artificial Intelligence in Banking and Finance Control theory and Cybernetics Tools & Techniques of Artificial Intelligence Artificial Intelligence and Morality |
| Business Analytics as Management Tool | Elements of Business Analytics Web and Mobile Analytics |
| Green and Sustainable Financing | ISO Standards for Green Finance Progress of Green Finance in India Growth of Regulatory Framework National Efforts towards Green and Sustainable Financing RBI Views on Climate Risk and Sustainable Finance |
| Special Purpose Acquisition Companies | Advantages of SPAC Disadvantages of SPAC Characteristics of SPACs, Process, SPAC Capital Structure, Trust Account, Warrants, Forward Purchase, IPO Agreements, De-SPAC Process |
- Important Topics of ABM
- Important Topics of BFM
- Important Topics of ABFM
- Important Topics of BRBL
2. Identifying Important Modules of ABFM for CAIIB
Prioritizing CAIIB ABFM modules ensures that you allocate more time to modules that carry higher weightage. Below, we have explained the sequence in which you should start your preparation.
- To prepare for the ABFM paper, you should start with the theoretical concepts of Modules A and D. Moreover, Module A focuses on the management process (with six sub-topics), which is easily manageable within 6 hours.
- After covering the theory of Modules A and D, you should focus on Modules B and C. These modules include both theoretical, numerical, and case study-based questions. Cover Module B first, as whatever you learn in this module will also help you understand the concepts in Module C.
- Upon finishing Modules B and C, it’s advisable to move on to the numerical questions of Modules A and D.
3. Important Books for ABFM Preparation
Here are the most relevant books you can use to prepare for the CAIIB ABFM paper:
| Books for CAIIB ABFM Preparation | |||
| Books | Author | Publisher | Buy Here |
| Advanced Business & Financial Management | IIBF | Macmillan | Buy Online |
- Important Topics of ABM
- Important Topics of BFM
- Important Topics of ABFM
- Important Topics of BRBL
Other Recommended Sources for CAIIB ABFM Preparation
Below are the other recommended sources that can help you further enhance your preparation.
- IIBF e-Learning Portal
IIBF offers an e-learning portal where you can access digital study material, online courses, and mock tests to prepare for the CAIIB ABFM paper. This is an excellent resource to enhance your understanding of the exam topics.
- Online Learning Platforms
Multiple online learning platforms offer CAIIB ABFM courses. These platforms offer a wide range of study materials, interactive lessons, practice quizzes, mock tests, and guidance from experienced educators.
- YouTube Videos
EduTap CAIIB YouTube channel provides free insightful tutorials and explanations on important ABFM topics, allowing you to understand complex CAIIB ABFM topics through quality video lectures.
- Other Recommended Sources
In addition to the above-mentioned sources, you should join free Telegram channels such as the EduTap Telegram Channel. It allows you to connect with peers and you’ll gain exposure to a variety of approaches and insights you might not have considered on your own.
4. Study Plan Cum Time Table for CAIIB ABFM Preparation
The next step would be to make an easy-to-follow timetable to make your preparation easy and more effective.
| CAIIB ABFM Preparation Time Table | ||
| Module | Time | Instructions |
| Module A The Management Process | 8 hours | This module is completely theory. Multiple revisions are needed to memorize the factual information. |
| Module B Advanced Concepts of Financial Management | 10 hours | This module has numericals and conceptual questions. Understand the concepts and formulas. Practice the numerical and case study-based questions. |
| Module C Valuations, Mergers, & Acquisitions | 10 hours | This module has numericals and conceptual questions. Understand the concepts and formulas. Practice the numerical and case study-based questions. |
| Module D Emerging Business Solutions | 10 hours | This module has numericals and conceptual questions. Understand the concepts and formulas. Practice the numerical and case study-based questions. |
| Total | 38 hours | The numerical problems are usually lengthy and based on complex case studies. |
5. Tips for CAIIB ABFM Preparation
The last step would be to keep the following tips in mind when preparing for the CAIIB ABFM exam:
- Structure your studies around your work schedule. Consider utilizing weekends for longer study sessions to optimize your time.
- Take short breaks (5-10 minutes) between sessions. These mental refreshers boost focus and information retention.
- Practice mock tests and PYQs to identify your strengths and weaknesses.
- To make your preparation easier, you can sign up for crash courses and test series.
Important Note:
- If you’re looking for a comprehensive solution that increases your chances of clearing the CAIIB ABFM exam, you can opt for the EduTap CAIIB ABFM Master Course.
- It comes with recorded and live sessions, concepts, notes, solved PYQs, and multiple mock tests. In addition, you can connect with our mentors if you need answers to your queries.
- Important Topics of ABM
- Important Topics of BFM
- Important Topics of ABFM
- Important Topics of BRBL
Conclusion
Start your CAIIB ABFM preparation by focusing on the most important topics, chapters, and modules. Make sure you customize and follow the timetable. Regularly practice mock tests and analyze PYQs to refine your strengths and improve your weaknesses.
