To view this notification widget you need to have JavaScript enabled. This notification widget was easily created with NotifySnack.
  Loading... Please wait...

(TCO E & F) A bank is facing a forecast of rising interest rates. How should they set the repricing and duration gap?

Price:
$4.99


Product Description

 

    1. (TCO E & F) A bank is facing a forecast of rising interest rates. How should they set the repricing and duration gap?
  • (TCO E & F) Weaknesses of the repricing model include
    I. it ignores changes in present values caused by changes in interest rates.
    II. it ignores different cash flow sensitivities within a maturity bucket.
    III . it fails to account for runoffs and prepayments.
  1. (TCO E & F) A micro hedge is a
  2. (TCO E & F) A forward contract
  3. (TCO E & F)  You own a mortgage backed security and you will receive fixed semiannual interest payments and no principal payments as long as prepayments remain within a given range. If prepayments move outside the range you will receive prepayments. You must be holding a _____.

Products by Category

Add to Wish List

Click the button below to add the (TCO E & F) A bank is facing a forecast of rising interest rates. How should they set the repricing and duration gap? to your wish list.

You Recently Viewed...