So in that case, due to illiquidity corridor should be wider and due to volatility, corridor should be tighter. Why is the liquidity component dominating then?
So in that case, due to illiquidity corridor should be wider and due to volatility, corridor should be tighter. Why is the liquidity component dominating then?
The solution provided in the link that you gave is not satisfactory. The solution in the link states that the width should be wider if question is asked from a transaction cost point of view. But here in question no 3, that's not the case. The question has clearly asked from a volatility POV. So kinRead more
The solution provided in the link that you gave is not satisfactory. The solution in the link states that the width should be wider if question is asked from a transaction cost point of view. But here in question no 3, that’s not the case. The question has clearly asked from a volatility POV. So kindly clarify the same. Thank you!
The formula for Downside Capture is:- Geometric Mean of Portfolio Return ÷ Geometric Mean of Benchmark Return So if portfolio (say 5%) is performing worse than benchmark (say 8%), then how can the downside capture be greater than 1?
The formula for Downside Capture is:-
Geometric Mean of Portfolio Return ÷ Geometric Mean of Benchmark Return
So if portfolio (say 5%) is performing worse than benchmark (say 8%), then how can the downside capture be greater than 1?
There should be parity between coupons and forward price right. You simply cannot stand at 3 months in case of coupons and at 0 months in case of F price. Not getting it.
There should be parity between coupons and forward price right. You simply cannot stand at 3 months in case of coupons and at 0 months in case of F price. Not getting it.
No this is not helping. The S that they have given is standing at 90 days (clearly stated in the question). Then how can you do 360/360! It should clearly be 270/360.
No this is not helping. The S that they have given is standing at 90 days (clearly stated in the question). Then how can you do 360/360! It should clearly be 270/360.
Asset Allocation – Corridor Width
So in that case, due to illiquidity corridor should be wider and due to volatility, corridor should be tighter. Why is the liquidity component dominating then?
So in that case, due to illiquidity corridor should be wider and due to volatility, corridor should be tighter. Why is the liquidity component dominating then?
See lessAsset Allocation – Corridor Width
The solution provided in the link that you gave is not satisfactory. The solution in the link states that the width should be wider if question is asked from a transaction cost point of view. But here in question no 3, that's not the case. The question has clearly asked from a volatility POV. So kinRead more
The solution provided in the link that you gave is not satisfactory. The solution in the link states that the width should be wider if question is asked from a transaction cost point of view. But here in question no 3, that’s not the case. The question has clearly asked from a volatility POV. So kindly clarify the same. Thank you!
See lessCapture Ratio
The formula for Downside Capture is:- Geometric Mean of Portfolio Return ÷ Geometric Mean of Benchmark Return So if portfolio (say 5%) is performing worse than benchmark (say 8%), then how can the downside capture be greater than 1?
The formula for Downside Capture is:-
Geometric Mean of Portfolio Return ÷ Geometric Mean of Benchmark Return
So if portfolio (say 5%) is performing worse than benchmark (say 8%), then how can the downside capture be greater than 1?
See lessI took the exam today
You can ask whatever you want to ask here. I will surely reply to all your doubts.
You can ask whatever you want to ask here. I will surely reply to all your doubts.
See lessPricing of Bond Forward
There should be parity between coupons and forward price right. You simply cannot stand at 3 months in case of coupons and at 0 months in case of F price. Not getting it.
There should be parity between coupons and forward price right. You simply cannot stand at 3 months in case of coupons and at 0 months in case of F price. Not getting it.
See lessPricing of Bond Forward
No this is not helping. The S that they have given is standing at 90 days (clearly stated in the question). Then how can you do 360/360! It should clearly be 270/360.
No this is not helping. The S that they have given is standing at 90 days (clearly stated in the question). Then how can you do 360/360! It should clearly be 270/360.
See lessPricing of Bond Forward
Solution
Solution
See lessCurrency Swap
All options are in negetive.
All options are in negetive.
See lessRoot Mean Squared Error
Solution. Wondering how they got 0.0013 as mean.
Solution. Wondering how they got 0.0013 as mean.
See lessCredit Default Swap
Question..they have selected option A i.e credit event has occured.
Question..they have selected option A i.e credit event has occured.