3I0-012 Exam Dumps - ACI-Financial Questions and Answers

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The dealers have good track records in their dealing both for the institution and for themselves.

There has been no previous conflicts of interest in the dealing room.

There is a clearly laFd down policy.

The dealers see no conflict of Interest in such dealing.

In volatile markets.

When dealing with emerging markets.

In an emergency.

When quoting for information only.

It is good practice for compliance, legal or credit functions to identity counterparties before the execution of a deal.

Management should have in place a clearwritten policy and procedures governing such transactions.

Management needs to be aware of the risks involved, particularly with respect to credit exposure and money laundering.

All of the above.

Should be documented as soon as possible after a deal is done.

Should be clearly stated before a deal.

Can be agreed verbally.

Are not permissible.

the strategy of holding more interest rate sensitive assets than interest rate sensitive liabilities

the strategy of holding fewer interest rate sensitive assets than interest rate sensitive liabilities

reducing the size of the balance sheet

structuring a bank’s portfolio so that its net interest revenue and/or the market value of its portfolio will not be adversely affected by changes in interest rates

At least 2 months

One year

Up to one month

Until the maturity of the deal

75%

100%

150%

350%

EUR 4,997,085.03

EUR 5,000,000.00

EUR 5,071,086.45

EUR 5,072,874.16

A fixed-floating money market swap in which the floating rate is an overnight index fixed periodically over the term of the swap

A fixed-floating money market swap in which the floating rate is the mean of the overnight index over the term of the swap

A fixed-floating money market swap in which the floating rate is an overnight index compounded daily

A floating-for-floating rate swap in different currencies in which both floating rates are overnight indexes compounded daily