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3I0-008 PDF DEMO:

QUESTION NO: 1
Click on the <> Button to view the Formula Sheet.
The 180-day GBP/USD rate is bid 62 and the 90-day GBP/USD rate is bid 29.
What is the bid rate for 120 days, assuming straight-line interpolation?
A.33
B.42
C.27
D.40
ANSWER: d

QUESTION NO: 2
Click on the <> Button to view the Formula Sheet.
In the international market, a FRA in USD is usually settled with reference to:
A.BBA LIBOR
B.Fed funds
C.ISDA LIBOR
D.EURIBOR
ANSWER: a

QUESTION NO: 3
Click on the <> Button to view the Formula Sheet.
Lending for 3 months and borrowing for 6 months creates a 3x6 forward-forward deposit. The cost of that deposit is called:
A.Break-even rate
B.Implied forward rate
C.Forward-forward rate
D.All of the above
ANSWER: d

QUESTION NO: 4
Click on the <> Button to view the Formula Sheet.
If EUR/USD is 1.1025-28 and the 6-month swap is 112.50/113, what is the 6-month outright price?
A.1.1380-1.11405
B.1.11375-1.1141
C.1.09125-1.0915
D.None of these
ANSWER: b

QUESTION NO: 5
Click on the <> Button to view the Formula Sheet.
What is the Overnight Index for GBP?
A.SONIA
B.STINA
C.LIBOR
D.EONIA
ANSWER: a

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Updated: May 27, 2022