The seller of a EUR/RUB NDF could be:

A.

a potential buyer of EUR against RUB

B.

speculating on an appreciation of the Russian Rouble

C.

expecting rising EUR/RUB exchange rates

D.

a seller of Russian Rouble

What is the amount of the principal plus interest due at maturity on a 1-month (32-day) deposit of USD 50,000,000.00 placed at 0.37%?

A.

EUR 50,015,416.67

B.

EUR 50,016,219.18

C.

EUR 50,016,444.44

D.

EUR 50,016,958.33

The tom/next GC repo rate for German government bonds is quoted to you at 1.75-80%. As collateral, you sell EUR 10,000,000.00 million nominal of the 5.25% Bund July 2012, which is worth EUR 11,260,000.00. If you have to give an initial margin of 2%, the Repurchase Price is:

A.

EUR 11,035,336.41

B.

EUR 11,035,351.74

C.

EUR 11,039,752.32

D.

EUR 11,039,767.65

Your agent bank accepts your back-valuation request for 1 day on an amount of EUR 50,000,000.00. EONIA is 0.375% and the ECB marginal lending facility rate is 1.50%. Applying conventional administration fees, how much will this be charged?

A.

EUR 620.83

B.

EUR 868.06

C.

EUR 968.06

D.

EUR 2,183.3

Which of the following statements is correct?

A.

Unilateral collateral obligations to sovereign counterparties provide liquidity to banks.

B.

Under Basel III commercial banks are most likely to incur lower costs to service their sovereign clients.

C.

While banks usually do not call for collateral from sovereign counterparties, they must provide collateral for the offsetting hedge transactions which are undertaken with commercial counterparties.

D.

Uncollateralised exposures to sovereign counterparties will not require additional regulatory capital to be set aside against potential credit losses

You are quoted the following market rates:
spot USD/SEK 6.3850
1M (30-day) USD 0.40%
1M (30-day) SEK 1.15%
What is 1-month USD/SEK?

A.

6.4250

B.

6.3810

C.

6.7850

D.

6.3890

Which of the following is a Eurocurrency deposit?

A.

3-month deposit of USD 10,000,000.00 offered by a US bank in New York

B.

3-month deposit of USD 10,000,000.00 offered by the US branch of a UK bank in New York

C.

A 3-month deposit of USD 10,000,000.00 offered by a US bank in London

D.

A 3-month deposit of GBP 10,000,000.00 offered by the UK branch of a US bank in London

When banks transact FX swaps, the spot price should be determined:

A.

anytime after the swap is transacted

B.

before the swap is transacted

C.

immediately after the swap is transacted

D.

no less than 24 hours after the completion of the swap

If EUR/USD is quoted to you as 1.3050-53, does this price represent?

A.

The number of EUR per USD

B.

The number of USD per EUR

C.

Depends on whether the price is being quoted in Europe or the US

D.

Depends on whether the price is being quoted interbank or to a customer

Regarding access to production systems, which of the following is incorrect?

A.

Profiles for functions are encouraged and should be reviewed semi-annually by a manager.

B.

Developers should have unrestricted access to production systems.

C.

Access to production systems should be rigorously controlled.

D.

Users should not have access to change system functionalities.