Online Access Free GARP.2016-FRR.v2022-01-17.q125 Practice Test (Page 3)

2016-FRR Exam Question 6

Beta Insurance Company is only allowed to invest in investment grade bonds. To maximize the interest
income, Beta Insurance Company should invest in bonds with which of the following ratings?

A.AA

B.A

C.B

D.AAA

2016-FRR Exam Question 7

Forward rate agreements (FRA) are:

A.Exchange traded derivative contracts that allow banks to take positions in future exchange rates.

B.OTC derivative contracts that allow banks and customers to obtain the risk/reward profile of long-term
interest rates by relying on long-term funding.

C.OTC derivative contracts that allow banks to take positions in forward interest rates.

D.Exchange traded derivative contracts that allow banks to take positions in forward interest rates.

2016-FRR Exam Question 8

Which one of the following statements regarding collateralized mortgage obligations (CMO) is incorrect?

A.CMOs have senior tranches which are considered short-term, low-risk instruments by banks

B.CMOs are asset-backed securities that have pools of collateralized debt obligations (CDOs) as
underlying collateral.

C.CMOs are generally less risky investment than CDOs.

D.CMOs are pools of mortgages that are divided according to the timing of cash flows.

2016-FRR Exam Question 9

Nijenhaus Bruch is currently creating a program of operational loss data collection at a bank with a large
branch network. Which minimal data standards should this collection approach include to meet minimum loss
data collecting standards?

A.Reports should capture the date of the event, the amount of loss, and recoveries of gross loss amounts.

B.Reports should only include the actual loss date.

C.Reports should capture both the date of the event and the amount of loss.

D.Reports should be designed to be shared with external data loss consortia recipients.

2016-FRR Exam Question 10

Which one of the following four statements describes the advantage of using delta-gamma method of mapping
options positions over delta-normal method?
Delta-gamma method

A.Overstates the risk of long option positions, but understate the risk of short option positions.

B.Converts options into underlying factor risks according to their deltas and the gammas to those factors.

C.Fully captures option price risk, particularly for extreme price movements.

D.Approximates more accurately the non-linear relationship of option values and risk.

Premium Bundle

Newest 2016-FRR Exam PDF Dumps shared by Actual4test.com for Helping Passing 2016-FRR Exam! Actual4test.com now offer the updated 2016-FRR exam dumps, the Actual4test.com 2016-FRR exam questions have been updated and answers have been corrected get the latest Actual4test.com 2016-FRR pdf dumps with Exam Engine here:

Access 2016-FRR Premium Version

(390 Q&As Dumps, 30%OFF Special Discount: Freepdfdumps)

Other Version: 4792GARP.2016-FRR.v2022-05-06.q121; 97GARP.Surepassexams.2016-FRR.v2022-01-22.by.xaviera.121q.pdf; 48GARP.Itpassleader.2016-FRR.v2021-08-29.by.yvette.108q.pdf

Latest Upload: 164ACSM.020-222.v2025-09-11.q48; 156VMware.5V0-31.23.v2025-09-10.q73; 130Oracle.1z0-915-1.v2025-09-10.q24; 159Citrix.1Y0-231.v2025-09-10.q87; 134SAP.C-THR85-2505.v2025-09-09.q29; 164Adobe.AD0-E727.v2025-09-09.q76; 129Oracle.1Z0-1123-25.v2025-09-09.q20; 134SAP.C_SIGPM_2403.v2025-09-08.q20; 251EXIN.ITIL.v2025-09-08.q161; 169BCS.PC-BA-FBA-20.v2025-09-08.q45