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3I0-010 PDF DEMO:

QUESTION NO: 1
The control failings involving Barings and Daiwa highlight the critical importance of what operational risk management practice?
A. the taping of conversations between counterparties
B. model signing-off and implementation controls
C. the separation between front/back office duties
D. the existence of contingency plans
Answer: C

QUESTION NO: 2
The maximum term for which a London Certificate of Deposit may be issued is:
A. 1 year
B. 3 years
C. 5 years
D. 10 years
Answer: C

QUESTION NO: 3
A collateral pool can be defined as:
A. assets lent by members of a payment system collectively available to the system as collateral to enable them to obtain funds in specific circumstances
B. liabilities owned by members of a payments system collectively available to the system as collateral to enable them to obtain funds in specific circumstances
C. assets owned by members of a payment system collectively available to the system as collateral to enable them to obtain funds in specific circumstances
D. assets swapped by members of a payment system collectively available to the system as collateral to enable them to obtain funds in specific circumstances
Answer: C

QUESTION NO: 4
The prompt sending and checking of confirmations is considered a best practice when dealing in:
A. amounts higher than USD 10,000,000.00 or the equivalent in other currencies
B. amounts higher than USD 1,000,000.00 or the equivalent in other currencies
C. any amount unless dealt via a broker
D. any amount by any counterparty
Answer: D

QUESTION NO: 5
When should discrepancies between front-office and back-office systems be resolved?
A. by the end of the trading day
B. on the next business day
C. on the value date
D. as soon as they become apparent
Answer: D

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Updated: May 27, 2022