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Hello, Apologizes for a possibly stupid question, but is "Current Issues in Financial Markets" still a topic in FRM Part 2 exams in year 2024? I can't find material from GARP that would discuss these topics, or any topic for that matter: EDIT: Found the answer, it still is...

Hi, I am having hard time finding the answers to the GARP 2024 Exam Part II Part 5 Chapter 7 (Correlation Basics) End-Of-Chapter questions. Have they been omitted?

Hi, I am wondering what is terminolgy regarding key-rate exposures, Partial '01s, key rate 01s (KR01s)? On page 168 of "Valuation and Risk Models", it is said that "...The impact of shifts, such as the ones shown in Figures 13.2 through 13.4, are sometimes referred to as partial 01s or key...

I just completed the "Part 1 Full Length Interactive Mock Exam 1". I scored 57% which I guess is OK at this point of preparation. But I have a few questions, not so much regarding the actual exam questions but the overall set-up of the exam: 1. It seems as the interactive quiz doesn't allow to...

Hello, in the video "Instructional Video: Option Sensitivity Measures: The “Greeks”", there is this slide: I am confused as to what normal distribution it refers to? Considering that N(d1) comes out to be 0.522, I understand that in the conditional density function, 52.2% of the values are...

question: Suppose that the 12-month and 30-month spot rates are chosen as key rates. Plot the key rate 01 shifts. why is the 12-month shift plotted so that the shift starts from maturity 0 and then starts the decline from maturity 1 (12 months) onwards whereas the plotting the 30.month spot...

Question 12.6: Suppose that the duration of a bond position is zero and convexity is positive. Does the value of the bond position increase or decrease when there is a small parallel shift in rates? Answer: It increases. Duration alone predicts no change, but a positive convexity leads to an...

Question: Answer: the forward rate between 1 and 1.5 years is stated as 4.4013% which seems to come from 0.0220066 x 2. However, shouldn't it be (1.00220066^2)-1= 4.4497%?

Question: "The distribution of the losses from a project over one year has a normal loss distribution with a mean of -10 and a standard deviation of 20. What is the one-year VaR when the confidence level is (a) 95%, (b) 99%, and (c) 99.9%?" Answer: (a) 22.9, (b) 36.5, (c) 51.8. Could someone...

There seems to be different ways to calculate the ES, depending, for example, whether the returns are continuous or discrete (I think). In P1, T4, Chapter 1 EOC 1.17 the question goes "An investment has a uniform distribution where all outcomes between -40 and +60 are equally likely. What are...

could someone please explain the bolded part of the answer. How does a naked call option provide any insurance regarding the stock price becoming less than the strike price? question: Give two reasons why it is not optimal to exercise an American call option on a non-dividend-paying stock...

Question topic 5, EOC 5.17: A trader shorts 100 shares when the price is USD 50. The initial margin and maintenance margin are 150% and 125%. What is the initial margin required? How high can the share price go before further margin is required? (Ignore interest payments answer: The trader is...

Question 5.15: A trader contacts a broker to enter into a futures contract to sell 5,000 bushels of wheat for 600 cents per bushel. The initial margin is USD 30,000, and the maintenance margin is USD 20,000. Under what circumstance is the trader required to provide more margin? How much mar-gin...

The question is: Continue the application of Bayes’ rule to compute the probability that a manager is a star after observing two years of “high” returns.? the Answer is: Consider the three scenarios: (High, High), (High, Low) and (Low, Low). We are interested in Pr (Star|High, High) using...