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2016-FRR PDF DEMO:

QUESTION NO: 1
Suppose that a regulator deems all corporate debt to have the same risk level. Which of the following behavior
of banks would be an example of regulatory arbitrage?
A. Banks increase their exposure to corporate debt.
B. Banks shift their exposure to more risky corporate debt.
C. Banks shift their exposure to less risky corporate debt.
D. Banks decrease their exposure to corporate debt.
Answer: B

QUESTION NO: 2
To estimate a partial change in option price, a risk manager will use the following formula:
A. Partial change in option price = Delta x Gamma x (1+ Change in underlying price)
B. Partial change in option price = Delta x Gamma x Change in underlying price
C. Partial change in option price = Delta x Change in underlying price
D. Partial change in option price = Delta x (1+ Change in underlying price)
Answer: C

QUESTION NO: 3
US-based BetaBank have accumulated Japanese yen, Japanese government bonds, options on
Japanese yen,
and positions in commodities that have a positive correlation with yen. Which one of the four following
non-statistical risk measures could be used to evaluate the BetaBank's exposure to the Japanese economy?
A. Position turnover
B. Position sensitivities
C. Position concentrations
D. Position volatility
Answer: C

QUESTION NO: 4
When the cost of gold is $1,100 per bullion and the 3-month forward contract trades at $900, a commodity
trader seeks out arbitrage opportunities in this relationship. To capitalize on any arbitrage opportunities, the
trader could implement which one of the following four strategies?
A. Take long positions in both physical gold and futures contract
B. Take a long position in physical gold and short-sell the futures contract
C. Short-sell physical gold and take a long position in the futures contract
D. Short-sell both physical gold and futures contract
Answer: C

QUESTION NO: 5
Which one of the following areas does not typically report into a central operational risk function?
A. Geopolitical and strategic planning
B. Business continuity planning
C. Embedded operational risk coordinators or specialists or managers
D. Information security
Answer: A

Databricks Databricks-Generative-AI-Engineer-Associate - 言與行的距離到底有多遠?關鍵看人心,倘使心神明淨,意志堅強,則近在咫尺,垂手可及 。 Royalholidayclubbed是個能幫你快速通過GARP Esri EAEP2201 認證考試的網站。 GitHub GitHub-Advanced-Security - 優秀的資料不是只靠說出來的,更要經受得住大家的考驗。 Royalholidayclubbed在IT培訓行業中也是一個駐足輕重的網站,很多已經通過GARP Fortinet NSE7_EFW-7.2 認證考試的IT人員都是使用了Royalholidayclubbed的幫助才通過考試的。 Snowflake COF-C02 - 與別的考試資料相比,這個考古題更能準確地劃出考試試題的範圍。

Updated: May 28, 2022

 

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