Design Thinking for Innovation Assignment

Alessio Valentini

Challenge: I was preparing for my CFA Level 1 exam and it was getting difficult for me to grasp the  concept of Mortgage-Backed Securities (MBS). I was getting confused regarding the entire deal flow,  as to how the money exchanges hands among banks, customers, investment banks and credit  default swap providers.

Selection: The tool that I selected to help me understand MBS better was the visualization tool. The  tool would help me get a pictorial representation of the flow of money amongst the concerned  stakeholders, and understand why the flow is taking place.

Application: I used the visualization tool to first sketch all the concerned stakeholders. I then drew  arrows to help me understand how money is passed from one hand to another. Beside each  stakeholder, I drew in simple terms their reason for the transaction. This helped me gain a clear  picture of MBS.

Insight: I learned that pictures help one gain a better understanding of a particular concept and that  they stay in our memory for a longer period of time. I also understood that its easier to recollect  pictures than words.

Approach: For every concept I don’t understand henceforth, I will make charts, graphs, sketches and  icons to help me gain a better understanding of the concept. I would also look at various videos for  the concept that can help me gain a better understanding.


Design Thinking for Innovation Assignment Alessio Valentini Challenge : I was preparing for my CFA Level 1 exam and it was getting difficult for me to grasp the concept of Mortgage - Backed Securities ( MBS ) . I was getting confused regarding the entire deal flow , as to how the money exchanges hands among banks , customers , investment banks and credit default swap providers . Selection : The tool that I selected to help me understand MBS better was the visualization tool . The tool would help me get a pictorial representation of the flow of money amongst the concerned stakeholders , and understand why the flow is taking place . Application : I used the visualization tool to first sketch all the concerned stakeholders . I then drew arrows to help me understand how money is passed from one hand to another . Beside each stakeholder , I drew in simple terms their reason for the transaction . This helped me gain a clear picture of MBS . Insight : I learned that pictures help one gain a better understanding of a particular concept and that they stay in our memory for a longer period of time . I also understood that its easier to recollect pictures than words . Approach : For every concept I do n’t understand henceforth , I will make charts , graphs , sketches and icons to help me gain a better understanding of the concept . I would also look at various videos for the concept that can help me gain a better understanding .