David,
So far we only learn about how the spread for Junior and senior tranches affected due to correlation of Zero and perfect correlation.
But can you please explain how is the spread changes if the default correlation is NEGATIVE?
and another scenario is the NUMBER of asset in the...
Information from question given: Portfolio value $150, annual return 12%, annual return volatility 25%, calculate VaR using 3 standard deviation.
my answer is = 150( 12%-3*25%)= 94.5
but solution given is 150*3*25%
it is very confusing, when we should include the annual return of 12% to...
Thanks,
But in their official 2010 FRM examination Practise booklet, they said "note that 2010 FRM exam consist of morning and afternoon session, each containing 70 multiple choice question.
this is written in the page 3 under "introduction".
This site uses cookies to help personalise content, tailor your experience and to keep you logged in if you register.
By continuing to use this site, you are consenting to our use of cookies.