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just got mine... passed. Thanks a lot David

I have not received my grade yet either...

Hi David aside from knowing the broad themes of the standardized credit basel lookup tables for risk weights, we are not expected to know what the risk weights should be for various claims and ratings, right? Thanks Kyle

I was having a related confusion with this question: The 1 year USD interest rate is 3 % and the 1 year CAD interest rate is 4.5%. The current USD/CAD spot exchange rate is 1.5. Calculate the 1 year forward. (assume annual comp.) A. 1.5225 B. 1.5218 C. 1.5207 D. 1.5199 I would...

Hi, I was trying to find the calculator tutorial on here but having some trouble I was hoping someone could help me price a zero cpn bond using the financial calculator. I am not sure what the various inputs should be. Unfortunately i dont have an example right now but i guess my biggest...

Hi David, I tried to post this as a comment on the Merton PD screencast but I was not able to post there. In that screencast, the expected future value of assets is 1184, the default threshold is 600, and the asset volatility is 0.25. LN(1184/600) = 68% and that is divided by .25...

Hi David, here is an excerpt from a much longer question: "..... The current T-bond futures price is $90.80 per $100 par and the T-bond futures contract will be settled using a 20 year 8 percent coupon bond paying interest S/A. The contract is due to expire in a few days so the T Bond price...

Hi David, just a quick question about your binomial tree response. I understand how we arrive at the stock value of 15.68 at the end of 3 years. But I would think the payoff would be equal to just 15.68 - 10 (Stock Px - Strike). Why is the payoff equal to (15.68 - 10)^2 ? Thanks Kyle

Hello, I have a similar question regarding this same example about computing the floating rate flows. Why is it that the 6 month LIBOR rate is used to determine the floating leg receive flow that happens in 3 months? The coupon payment that is used is 2.75, half of the 5.5% LIBOR at 6 months...