Homework Helper

Not Rated (0)

$17/per page/

About Homework Helper

Levels Tought:
Elementary,Middle School,High School,College,University,PHD

Expertise:
Accounting,Applied Sciences See all
Accounting,Applied Sciences,Art & Design,Chemistry,Economics,Essay writing Hide all
Teaching Since: Apr 2017
Last Sign in: 419 Weeks Ago, 4 Days Ago
Questions Answered: 3232
Tutorials Posted: 3232

Education

  • MBA,MCS,M.phil
    Devry University
    Jan-2008 - Jan-2011

  • MBA,MCS,M.Phil
    Devry University
    Feb-2000 - Jan-2004

Experience

  • Regional Manager
    Abercrombie & Fitch.
    Mar-2005 - Nov-2010

  • Regional Manager
    Abercrombie & Fitch.
    Jan-2005 - Jan-2008

Category > Business & Finance Posted 10 Jun 2017 My Price 6.00

Describe the risk exposure(s) in the following financial transactions.

Describe the risk exposure(s) in the following financial transactions. Identify which transactions are influenced by interest rates or interest income. (CAUTION: Some can be influenced by both!)

Risk Types: Interest rate risk, Credit risk, Technology risk, Foreign exchange rate risk, Country or sovereign risk

Financial Transactions

Risk Type

Describe and justify risk type

Interest Rate or Interest Income?

A bank finances a $10 million, six-year fixed-rate commercial loan by selling one-year certificate of deposit.

      

An insurance company invests its policy premiums in a long-term municipal bond portfolio.

      

A French bank sells two-year fixed-rate notes to finance a two-year fixed-rate loan to a British entrepreneur.

      

A Japanese bank acquires an Austrian bank to facilitate clearing operations.

      

A bond dealer uses his own equity to buy Mexican debt on the less developed country (LDC) bond market.

      

A securities firm sells a package of mortgage loans as mortgage-backed securities.

      

Describe the features of the method you would choose to measure the interest risks identified.

Answers

Homework Helper
Not Rated (0)
Status NEW Posted 10 Jun 2017 08:06 AM My Price 6.00

Hel-----------lo -----------Sir-----------/Ma-----------dam----------- T-----------han-----------k Y-----------ou -----------for----------- us-----------ing----------- ou-----------r w-----------ebs-----------ite----------- an-----------d a-----------cqu-----------isi-----------tio-----------n o-----------f m-----------y p-----------ost-----------ed -----------sol-----------uti-----------on.----------- Pl-----------eas-----------e p-----------ing----------- me----------- on----------- ch-----------at -----------I a-----------m o-----------nli-----------ne -----------or -----------inb-----------ox -----------me -----------a m-----------ess-----------age----------- I -----------wil-----------l

Not Rated(0)