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Did GARP publish any pass-rates so far?

Great! Passed! Q1 Q1 Q1 Q1 lost my girlfriend because of the studying, but in the end it was worth all the effort! Up to part II Thanks a lot BT, your questions are the best preparation!

Yes... I have taken care of that see my expression... "0.517 = 1 - ..." where ... is probability of up-step

@ashwinashu90 I think I had 375 as well, for internal credit ratings...yes lower-diagonal matrix, yes 2 is minimum number of options.

In a risk-free world everyone should get the same up and down probability ....but the solution GARP provided was for the same views about 55 % and the other about 45 % (1-45%), the other 2 solutions where each trader dependent, this should have been irrelevant though :mad: This must have been a...

Hi, I used binomial distribution: 250C6*(0.01)^6*(0.99)^244 ...the solution was in there... I had a problem with the 2 traders and rf = 0.02 (for 1 year) and sigma = 35 % (for 1 year) and delta_t = 1/12 ... (12 step binomial tree) get the probability of a down step Normally this should be...

Hi, Were we not allowed to write in the booklet? I was taking exam in the London facility Excel and I couldn't actually understand what they were saying....because of resonance in the room!!!! No clock...makes it hard to time! What are consequences of writing in booklet?

Hi David, I was doing exercises 409.3 and found a different value: 2.4703 million. I had obtained my result by considering floating rate as as a floating bond. I think you have to discount at 6 months 1/(1+2%/2)^1 and at 1 year as (1+2%/2)^2 ...and not as (1+2%/2)^0.5 and (1+2%/2)^2 as here you...

Hi, Revisiting this, I probably understand the question better now: If one shorts he future contract and settle in cash on 30 th September to cover the future, the short has to: Buy now: at 110 + accrues interest of 6.5*(177/182) Get coupon / dividend with pv 6.49 This is a dirty...

Hi David, I am referring to question 06.11 in the exercises, it is one of the hardest questions in the Hull questions. It is July 30, 2005. The cheapest-to-deliver bond in a September 2005 Treasury bond futures contract is a 13% coupon bond, and delivery is expected to be made on September...