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Question 1 of 100
1. Question
1 point(s)____is a part of Debt Market.
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Question 2 of 100
2. Question
1 point(s)Prices of____are determined by the long term interest rates.
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Question 3 of 100
3. Question
1 point(s)In a zero coupon bond the Macaulay Duration will be___
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Question 4 of 100
4. Question
1 point(s)The ‘Quarterly’ month for the purpose of expiry of interest rate derivative is
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Question 5 of 100
5. Question
1 point(s)You have bought a car by taking a vehicle loan at fixed interest rate. Which of the following is true in this case ?
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Question 6 of 100
6. Question
1 point(s)If the shape of term structure is INVERTED, this means that_
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Question 7 of 100
7. Question
1 point(s)Most consumer loans and housing loans are structured as
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Question 8 of 100
8. Question
1 point(s)If the difference between Long term Rates and Short term Rates rises or widens (from positive to more positive or from negative to less negative), than the term structure of rates (shifts) is called
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Question 9 of 100
9. Question
1 point(s)The price of derivatives is determined by the demand and supply factors – State True or False ?
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Question 10 of 100
10. Question
1 point(s)The margins for outright future trades will be _Calendar spreads.
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Question 11 of 100
11. Question
1 point(s)A trading member has two clients – Client A and Client B. Client A has a net long position of 12 and Client B has a net short position of 10. What is the net position for the trading member ?
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Question 12 of 100
12. Question
1 point(s)When the term structure curve shifts in anti-clockwise direction, the shift is ___
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Question 13 of 100
13. Question
1 point(s)There is a trade guarantee in which of the following trades ?
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Question 14 of 100
14. Question
1 point(s)The seller can deliver___for the entire obligation.
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Question 15 of 100
15. Question
1 point(s)The Public Debt Office is the depository for __
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Question 16 of 100
16. Question
1 point(s)Interest rate risk is also known as
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Question 17 of 100
17. Question
1 point(s)___a demat account for Govt. securities which is maintained with Public Debt Office of RBI by the Primary dealers for its own holdings.
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Question 18 of 100
18. Question
1 point(s)Which is the risk you face if the prices of cash treasury bills and treasury bills futures are not the same ?
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Question 19 of 100
19. Question
1 point(s)The maximum contract months available for Treasury Bill futures is _
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Question 20 of 100
20. Question
1 point(s)To convert interest rate into interest amount, we need to know the _
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Question 21 of 100
21. Question
1 point(s)In an Immediate or Cancel’ order _
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Question 22 of 100
22. Question
1 point(s)What is the settlement method for bond derivatives ?
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Question 23 of 100
23. Question
1 point(s)____are members of Clearing Corporation.
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Question 24 of 100
24. Question
1 point(s)Which of these risks is most severe for Banks and Financial institutions ?
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Question 25 of 100
25. Question
1 point(s)An action which does not result in any profit or loss in future is known as___
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Question 26 of 100
26. Question
1 point(s)Which risk is mitigated by the Delivery versus Payment (DvP) mode of settlement?
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Question 27 of 100
27. Question
1 point(s)A bond portfolio’s current market value is Rs 100 cr and the portfolio modified duration (MD) is 6. If the Yield to Maturity (YTM) falls by one basis point ie. 0.01%, calculate the market value of the portfolio after the change in YTM.
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Question 28 of 100
28. Question
1 point(s)The initial margin / contract level minimum margin will be
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Question 29 of 100
29. Question
1 point(s)The legal form of Professional Clearing Member can be
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Question 30 of 100
30. Question
1 point(s)SPAN margining is applied between
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Question 31 of 100
31. Question
1 point(s)An investor can open________ Gilt Account(s).
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Question 32 of 100
32. Question
1 point(s)The seller must deliver______in the physical settlement of Government bond futures.
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Question 33 of 100
33. Question
1 point(s)When the long term rate rises more as compared to short term rate, the shift in structure is______
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Question 34 of 100
34. Question
1 point(s)Considering global derivative markets, which of the following is bigger in size?
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Question 35 of 100
35. Question
1 point(s)Investors can hold their Govt. securities in demat form in which of the following?
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Question 36 of 100
36. Question
1 point(s)A Professional Clearing Member can settle trades______
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Question 37 of 100
37. Question
1 point(s)If the 6 month rate is 6%, 1 year rate is 7% and 10 year rate is 8.5%, the shape of the term structure is
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Question 38 of 100
38. Question
1 point(s)A zero coupon bond issued by a corporate will have which of the following risks ?
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Question 39 of 100
39. Question
1 point(s)The price of a bond is Rs 100. The Yield to Maturity (YTM) is 8% and the Modified duration is 4. If the YTM changes by 2%, the bond price will change by______
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Question 40 of 100
40. Question
1 point(s)If the shape of term structure is ‘Normal’, it implies that_____
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Question 41 of 100
41. Question
1 point(s)When is the auction conducted for short delivery of securities?
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Question 42 of 100
42. Question
1 point(s)What are the number of maximum contracts available for trading in Govt. Bond futures ?
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Question 43 of 100
43. Question
1 point(s)If the bond price is 120 and the Modified Duration of a bond is 6.0 and the yield to maturity changes by 1%, the change in bond price will be
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Question 44 of 100
44. Question
1 point(s)When you are speculating the timing of change in interest rate yield, you should match the_____
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Question 45 of 100
45. Question
1 point(s)In a Gilt Account_____
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Question 46 of 100
46. Question
1 point(s)The price of a bond (of Rs 100 face value) is Rs 97. It has a coupon rate of 8.5%. What is the current yield ?
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Question 47 of 100
47. Question
1 point(s)If all the rates ( Long Term and Short Term) move in the same direction by same extent, the Term Structure of Rates (Shifts) is called _
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Question 48 of 100
48. Question
1 point(s)The trade guarantee for exchange traded derivatives is provided by _
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Question 49 of 100
49. Question
1 point(s)he value of derivative in the balance sheet is its “fair value”,which is its___
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Question 50 of 100
50. Question
1 point(s)Who maintains Constituent Subsidiary General Ledger account with the Public Debt Office (PDO) of RBI ?
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Question 51 of 100
51. Question
1 point(s)If the VaR (1 Day – 99%) for a security is Rs 17, what is the correct interpretation of ‘Rs 17’ ?
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Question 52 of 100
52. Question
1 point(s)In a Callable bond, the______ has the right to prepay the bond on specified dates before maturity.
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Question 53 of 100
53. Question
1 point(s)Coupon cannot be considered a true return measure because.____
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Question 54 of 100
54. Question
1 point(s)Among Modified Duration (MD) and Price Value of Basic Point (PVBP) , which one is a better risk measure ?
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Question 55 of 100
55. Question
1 point(s)Which interest rate affect the price of Treasury Bills ?
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Question 56 of 100
56. Question
1 point(s)Which among the following options is a derivative ?
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Question 57 of 100
57. Question
1 point(s)Long and short positions can be offsetted at___for proprietary trades.
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Question 58 of 100
58. Question
1 point(s)Converting a floating-rate loan into a fixed-rate loan is____
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Question 59 of 100
59. Question
1 point(s)A company issues two bonds having the same maturity but different coupon. An investor will choose one bond over the other for investment because of___
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Question 60 of 100
60. Question
1 point(s)Clearing Corporation protects itself from the counterparty credit risk and settlement risk from both buyer and seller by _
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Question 61 of 100
61. Question
1 point(s)______orders will be executed at a favourable price.
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Question 62 of 100
62. Question
1 point(s)A Professional Clearing member can execute trades for____
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Question 63 of 100
63. Question
1 point(s)What is Market liquidity risk ?
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Question 64 of 100
64. Question
1 point(s)On which day does the Government of India conducts the auction for Treasury Bills ?
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Question 65 of 100
65. Question
1 point(s)The last trading day for Treasury Bill future contract is
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Question 66 of 100
66. Question
1 point(s)What shift in the term structure called if the long term minus short term rate moves from – 2% to – 1.5% ?
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Question 67 of 100
67. Question
1 point(s)There is no possibility of yield curve spread risk when the term structure shift is_____
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Question 68 of 100
68. Question
1 point(s)A client of a trading member has a long position of 14 contracts and short position of 3 contracts in the same underlying. What is the net position for the client?
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Question 69 of 100
69. Question
1 point(s)The contract-level minimum margin is____
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Question 70 of 100
70. Question
1 point(s)The maximum contract months available for 10 year, 6 year and 13 year bond futures is___
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Question 71 of 100
71. Question
1 point(s)When there is a failure to notify the Intent to Deliver, the auction is conducted on _
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Question 72 of 100
72. Question
1 point(s)The underlying for short term interest rate derivatives is____
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Question 73 of 100
73. Question
1 point(s)Currently the underlying for Interest Rate Derivatives in India is / are _
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Question 74 of 100
74. Question
1 point(s)Which is the correct sequence of products launched in the Indian Exchange traded derivatives market ?
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Question 75 of 100
75. Question
1 point(s)The size of counterparty credit risk is equal to the _
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Question 76 of 100
76. Question
1 point(s)Considering 30/360 day count basis, how many days are counted for interest accrual for the period Feb 28′ 2015 to March 1 ‘ 2015 ?
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Question 77 of 100
77. Question
1 point(s)A Trading-cum-Clearing Member is a member of____
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Question 78 of 100
78. Question
1 point(s)The Yield curve spread risk deals with the differential price changes in____
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Question 79 of 100
79. Question
1 point(s)What will be the shape of term structure if the difference between Long term rate and short term rate is zero ?
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Question 80 of 100
80. Question
1 point(s)The current position limit at Clearing Member level is _
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Question 81 of 100
81. Question
1 point(s)Holdings of Govt. securities of investors are held in____with the Public Debt Office of RBI.
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Question 82 of 100
82. Question
1 point(s)When the original period of borrowing or lending is more than a year, it is ____
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Question 83 of 100
83. Question
1 point(s)Suppose the 3 month rate is 5.5%, the 1 year rate is 7.5% and the 10 year rate is 6%, than the shape of term structure would be —
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Question 84 of 100
84. Question
1 point(s)Calculate the change in the value of one futures contract if the Government Bond futures contract price changes by 100 ticks ?
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Question 85 of 100
85. Question
1 point(s)The risk which is faced by the highest number of market participants is _
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Question 86 of 100
86. Question
1 point(s)The extreme loss margin is implemented by the
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Question 87 of 100
87. Question
1 point(s)A fixed rate housing loan is not exposed to any interest rate risk – State True or False ?
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Question 88 of 100
88. Question
1 point(s)Basis Risk’ refers to the differential price changes in_____
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Question 89 of 100
89. Question
1 point(s)Interest rate derivatives is best described as____
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Question 90 of 100
90. Question
1 point(s)Exchange traded Interest Rate Derivatives are always settled in___
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Question 91 of 100
91. Question
1 point(s)If the interest rate falls within the period, the shape of the term structure will be___
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Question 92 of 100
92. Question
1 point(s)______have to obtain prior permission of RBI to short sell Govt. Bond futures.
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Question 93 of 100
93. Question
1 point(s)Inter-commodity spread consists of two trades with____
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Question 94 of 100
94. Question
1 point(s)When is the Delivery Margin payable ?
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Question 95 of 100
95. Question
1 point(s)Which of the following is the settlement day of the 91 day bill futures contract ?
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Question 96 of 100
96. Question
1 point(s)Yield to Maturity (YM) is not a completely satisfactory measure of return because.
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Question 97 of 100
97. Question
1 point(s)Who conducts the settlement of trades of Exchange Traded Derivatives ?
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Question 98 of 100
98. Question
1 point(s)Investors can hold Government Securities____
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Question 99 of 100
99. Question
1 point(s)______is the true return on investment.
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Question 100 of 100
100. Question
1 point(s)The price quotation for Government Bond futures is___
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