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Thanks a lot, David.

Nicole : I apologise for not being aware of the questions posted in the forum previously. I shall henceforth take care of the same and also not mingle so many questions in one thread. David : Thanks for the answer. Will make sure that specific questions are posted on specific threads. Shakti...

1) Which of the following loans has the lowest credit risk? The table data file is attached. It was asked in the quiz.Please explain Question 8 Choose one answer. a. Loan A Incorrect b. Loan B Incorrect c. Loan C Correct d. Loan D Incorrect The correct answer is C The 1 year probability of...

Thanks a lot for your reply Deepak. I didnot consider it to be so simple, got stuck up there. However, I am not very confident about the movements in the nominal yield and real yield impact the process of hedging using futures. It would be very helpful if you could shed some light on it...

Hello, Please help me with the following questions : What is value required to hedge a key rate exposure of $27.5 with another security with key rate exposure of $9.75, both having similar face value? Choose one answer. a. 35.45 Incorrect b. 282.05 Correct c. 37.25 Incorrect d. 268.13...

Thanks a lot, Matthew. I did understand your point, however I am not very experienced about how this works in the practical world. It would be immense help to me, if you could demonstrate the difference between the three by means of an example or a question with the corresponding solution. This...

Hello, I am confused between key rate exposures, bucket exposures and partial 01s with reference to multi factor risk metrics. Could someone please help me by summarising these topics? Also, highlight the key differences between them. Thanks a ton. Priyanka.