Free 3I0-012 Exam Braindumps
3I0-012 ACI Dealing Certificate Questions 166–170 (page: 35)

Updated On: 9-Feb-2026

Who takes the counterparty risk on the seller in a to-party repo?

  1. The buyer
  2. The to-party agent
  3. A third-party guarantor
  4. A central clearing counterparty

Answer(s): A



Repo is said to have “double indemnity” due to the creditworthiness of the counterparty and:

  1. A written legal agreement between the parties
  2. The oversight of the transaction by the custodian of the collateral
  3. The creditworthiness of the collateral
  4. The right of close-out and set-off in an event of default

Answer(s): C



In which type of repo is “double dipping” a risk?

  1. Delivery repo
  2. HIC repo
  3. To-party repo
  4. “Double dipping” is never a risk in any type of repo

Answer(s): B



You buy a 30-day 4% CD with a face value of GBP 20,000,000.00 at par when it is issued. You sell it in the secondary market after 10 days at 4.05%.

What is your holding period yield?

  1. 4.05%
  2. 3.891%
  3. 3.838%
  4. 1.946%

Answer(s): B



What are the secondary market proceeds of a CD with a face value of EUR 5,000,000.00 and a coupon of 3% that was issued at par for 182 days and is now trading at 3% but with only 7 days remaining to maturity?

  1. EUR 4,997,085.03
  2. EUR 5,000,000.00
  3. EUR 5,071,086.45
  4. EUR 5,072,874.16

Answer(s): D



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