Question 66

Short-selling is typically associated with the following risks:
I. Potential for extreme losses
II. Risk associated with the availability of shares to borrow
III. Market behavior risk
IV. Liquidity risk
  • Question 67

    All of the following performance statistics typically benefit country's creditworthiness EXCEPT:
  • Question 68

    According to Basel II what constitutes Tier 1 capital?
  • Question 69

    Which one of the following four statements correctly defines a non-exotic call option?
  • Question 70

    A trader for EtaBank wants to take a leveraged position in Collateralized Debt Obligations. These CDOs can
    be used in a repurchase transaction at a 20% haircut. Starting with $100 worth of CDOs, which one of the
    following four positions would completely utilize the available leverage?