Free 3I0-012 Exam Braindumps (page: 53)

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A closed position in a particular foreign currency exists:

  1. when the net spot position plus the forward position plus the delta equivalent of the foreign currency options book add up to zero
  2. when the forward purchases of a foreign currency are equivalent to the equity position in that same currency
  3. when the reverse repurchases of foreign currency are equal to the forward purchases of the functional currency
  4. when the maturity structure of the assets in one currency is closely matched to the maturity structure of liabilities in another

Answer(s): A



Which of the following are all goals of the originator of securitized assets?

  1. to increase funding diversification , to reduce funding costs, to achieve regulatory and accounting benefits, to increase the size of the balance sheet
  2. to increase funding diversification , to reduce funding costs, to achieve regulatory and accounting benefits
  3. to increase funding diversification , to reduce operational risk, to achieve regulatory and accounting benefits, to decrease the size of the balance sheet
  4. to increase funding diversification , to reduce operational risk, to achieve regulatory and accounting benefits, to increase the size of the balance sheet

Answer(s): B



Which of the following risks are considered market risks?

  1. interest rate, currency, equity and commodity risk
  2. interest rate, currency, equity and default risk
  3. interest rate, equity, liquidity and default risk
  4. legal, reputation and regulatory risk

Answer(s): A



Under Basel III rules the meaning of RSF is:

  1. Reviewed Supervisory Factor
  2. Required Stable Funding
  3. Riskless Stable Funding
  4. Riskless Supervised Funding

Answer(s): B






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