We know that adding call option on bond price or futures will increase duration and convexity. So in a question it is given that it is incorrect that buying MBS will add convexity to the portfolio which result in a greater ...
SSEI QForum Latest Questions
Stuyvesant also wants to be prepared to answer general questions from the committee on the economy and financial markets. One member always asks her view on what the Federal Reserve Board (Fed) rate move is expected to be at the ...
In this question if we are investing in Euro and it is appreciating then we would be afraid of ...
In question 2.b , economic recovery scenario, when we are offsetting the previous position by buying HY cdx and selling ...
Can someone send me a simplified solution of this question? I ...
While calculating the net regulatory burden being overvalued or undervalued, should we consider the indirect cost of changes in eco behavior resulting from implementation? I mean to say should we use the formula as Net reg burden= direct cost of implementation ...
A floor on a floating rate note, from the bond holder’s perspective, is equivalent to a. owning a series of calls on fixed income securities b. writing a series of interest rate puts c. owning a series of puts on fixed income securities The ...
The answer given is C. What’s the logic? In my opinion Hamsco’s compensation is too low realtive to CDS spread
This is Item Set number 2 from the SSEI book of derivatives and regarding the marked part there was a question asked ...