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Hi @ShaktiRathore, Thanks for the above links, they cleared the lot of my confusion. But do you think that in current environment only the bachelors degree and FRM (and some financial modeling course) is enough to get a job for beginner?(As you are in this field for long time, I think you can...

Hi @ShaktiRathore and @brian.field, I think you two are the best to help me out. I have some queries. I have cleared FRM part 1 in November 2015 (in 1st attempt, thanks to @David Harper CFA FRM) and headed to Part 2 in May 2016. Currently I am completing my graduation (final year of my B.com.)...

Hi @Matthew Graves, Thank you so much! Thant helps a lot:)!

Hi guys, Congratulations to all who passed FRM part 2 and got certified. Can any one of you tell me how was the exam this time? Qualitative or more quantitative? Some candidates of May 2015 part 2 exam says it was more qualitative. Only 5 questions quantitative. How was it this time? How many...

Passed!!!!!! @David Harper CFA FRM and @Nicole Manley without you it was nightmare for me you transformed it into dream. Looking forward for part 2 also. Thanks a lot

Hi @Nicole Manley, New website is way to cool and easy to access. Haven't got any issues till now. Good work. Everything is going smoothly. Thanks a lot:)!

Hi @Nicole Manley, Thank you so much. Will let you know later. Thank you:)!

Hi @FRM Bionic Ninja Turtle, df of 1.5 year is 0.9809 spot rate=[1/0.9809^1/3-1]*2=0.01290 or 1.290%. I think you are forget to multiply with 2. Hope that helps. Thank you:)!

Hi @Nicole Manley, Thank you so much:)!

Hi @Jayanthi Sankaran, As you can see n=200, but we have sample volatility, as you know we use z stat when sample size n>30, but we also need the population variance/volatility. In this case we have sample volatility so we can us z or t stat but in practice we always tend to use t stat and as...

Hi @Jayanthi Sankaran, 1.9720 is the critical value of 199 df 95% two tail, usually you dont find the that big students t table(just get it from internet), and 1.96 is the 95% two tail value of z stat, David is showing here a t stat example, hope that helps. Thank you:)!

Hi @Jayanthi Sankaran, I dont think we need to do this complicated, you can simply use the TVM function, but if you wanted know:Mortgage payment factor = [rate*(1+rate)^term]/[(1+rate)^term-1]. {0.05/12*[1+0.05/12^360]/[1+0.05/12^360-1]}=0.00417*[4.46774]/[4.46774-1]=0.01863/3.46774=0.00537...

Hi @taunk, as per question, scheduled principal plus prepayments, be 2.0% of outstanding balance additional 2% is just outstanding balance. Hope that helps. Thank you:)!

Hi @heretolearn, when you calculate the yield using calculator it assume semi annual compounding but hull assume continuouse compounding frequency so you need to convert 6.51% semi annual compounding to continuouse like:LN(1+6.51%/2)*2=6.4-629% or 6.407%. Hope that helps. Thank you:)

Hi @Nicole Manley, Thank you so much. Will let you know. Thanks a lot:)!

Hi @The Great Khan, I think you need to derive first discount factors. Like six month df=0.99 and 1 year df=0.98, because they are zero coupon then calculate the df of 1.5 year bond like, 97=$1*(df0.5 or 0.99)+1*(0.98)+101*(d1.5). d(1.5)=0.94089. Then you can derive the...

Hi @David Harper CFA FRM CIPM, Thank you for clarification, very clear now. Thanks a lot.

Hi @Jayanthi Sankaran, I dont know the exact answer, it's just a try,$101.29968 it is just the value of 7% coupon bond which is derived as 5%*X+8%*(1-X)=7% after solving this X=0.33333 and 1-X=1-0.33333=0.66667. Then find the value, $97.50*0.33333+$103.2*0.66667=$101.29968 and $101.29968 is the...

Hi @Namrata2001, I tried to solve the question but I am not 100% sure. first we need to find the value of 7% coupon treasury note. Like, 5%*X+8%*(1-X)=7%, after solving this X=0.33333 and 1-X=1-0.33333=0.66667. Then find the value, $97.50*0.33333+$103.2*0.66667=$101.29968. Then use the TVM...

Hi @David Harper CFA FRM CIPM, can you explain the answer of above question, if possible! Thank you:)