Here they are are talking about individual securities and wants to maximize the score by the characteristics of individual securities -so clearly it's a bottom up strategy. In bottom up approach you analyze the company specific factors and characteristics.
Here they are are talking about individual securities and wants to maximize the score by the characteristics of individual securities -so clearly it’s a bottom up strategy.
In bottom up approach you analyze the company specific factors and characteristics.
The statement says that GBI provides the ability to predict the probability of success which is wrong. In GBI the probability of success is an input not an output. We get the probability of success via MCS
The statement says that GBI provides the ability to predict the probability of success which is wrong.
In GBI the probability of success is an input not an output.
It is written that all the three will use the same crude oil futures. i) An airline company hedges it's cost by entering into a long futures contract (F+) ( usko Darr hai ki fuel ka daam bhar jaaega isliye F+)......the market is in backwardation so roll return positive. ii) Similarly, a long only QARead more
It is written that all the three will use the same crude oil futures.
i) An airline company hedges it’s cost by entering into a long futures contract (F+) ( usko Darr hai ki fuel ka daam bhar jaaega isliye F+)……the market is in backwardation so roll return positive.
ii) Similarly, a long only QA commodities fund will enter into long futures contract (F+)…..roll yield positive.
iii) A crude oil producer will enter into a short futures contract (F-) (usko Darr hai ki uska product ka daam gir nhi jaae)………if we enter into a short futures contract and the market is in backwardation, our roll yield is negative.
I am not sure but I think for a fall in yield, the convexity of a straight bond is higher than puttable bond. Convexity = P2+P1-2P0/P0*(change in ytm)^2 So for a puttable bond P0 is high, so the numerator is low and the denominator is also high. Therefore convexity less.
I am not sure but I think for a fall in yield, the convexity of a straight bond is higher than puttable bond.
Convexity = P2+P1-2P0/P0*(change in ytm)^2
So for a puttable bond P0 is high, so the numerator is low and the denominator is also high. Therefore convexity less.
Performance evaluation
Here they are are talking about individual securities and wants to maximize the score by the characteristics of individual securities -so clearly it's a bottom up strategy. In bottom up approach you analyze the company specific factors and characteristics.
Here they are are talking about individual securities and wants to maximize the score by the characteristics of individual securities -so clearly it’s a bottom up strategy.
In bottom up approach you analyze the company specific factors and characteristics.
See lessPM – Goals Based Investing
The statement says that GBI provides the ability to predict the probability of success which is wrong. In GBI the probability of success is an input not an output. We get the probability of success via MCS
The statement says that GBI provides the ability to predict the probability of success which is wrong.
In GBI the probability of success is an input not an output.
We get the probability of success via MCS
See lessBuffering and Packeting
Can you please mention that question here?
Can you please mention that question here?
See lessYield curve strategies
Sir please explain the swaption portion wrt duration and convexity once.
Sir please explain the swaption portion wrt duration and convexity once.
See lessUp and Down duration
Thank you sir!
Thank you sir!
See lessUp and Down duration
In review class, Sanjay sir said this statement and he also said that for a straight bond the up and down duration is same.
In review class, Sanjay sir said this statement and he also said that for a straight bond the up and down duration is same.
See lessCDS
In US restructuring is not considered to be a credit event, hence no change in the value of index and no security should be removed.
In US restructuring is not considered to be a credit event, hence no change in the value of index and no security should be removed.
See lessCommodity
It is written that all the three will use the same crude oil futures. i) An airline company hedges it's cost by entering into a long futures contract (F+) ( usko Darr hai ki fuel ka daam bhar jaaega isliye F+)......the market is in backwardation so roll return positive. ii) Similarly, a long only QARead more
It is written that all the three will use the same crude oil futures.
i) An airline company hedges it’s cost by entering into a long futures contract (F+) ( usko Darr hai ki fuel ka daam bhar jaaega isliye F+)……the market is in backwardation so roll return positive.
ii) Similarly, a long only QA commodities fund will enter into long futures contract (F+)…..roll yield positive.
iii) A crude oil producer will enter into a short futures contract (F-) (usko Darr hai ki uska product ka daam gir nhi jaae)………if we enter into a short futures contract and the market is in backwardation, our roll yield is negative.
Hope it helps😊
Fair Value method
What should be done in Balance sheet?
What should be done in Balance sheet?
See lessConvexity | Lillian Krishnan is a fixed income analyst at Pedu Advisors, an investment management firm.
I am not sure but I think for a fall in yield, the convexity of a straight bond is higher than puttable bond. Convexity = P2+P1-2P0/P0*(change in ytm)^2 So for a puttable bond P0 is high, so the numerator is low and the denominator is also high. Therefore convexity less.
I am not sure but I think for a fall in yield, the convexity of a straight bond is higher than puttable bond.
See lessConvexity = P2+P1-2P0/P0*(change in ytm)^2
So for a puttable bond P0 is high, so the numerator is low and the denominator is also high. Therefore convexity less.