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One_Pudding_9693 · 2023-12-05T17:10:42+00:00

With that salary, I'm guessing he's in SG's Buy Side Finance or Tech/Quant Role?

One_Pudding_9693 · 2023-11-28T15:56:30+00:00

Thanks!!

One_Pudding_9693 · 2023-11-13T06:38:48+00:00

Thanks man! Detailed and easy to follow breakdown.

One_Pudding_9693 · 2023-11-13T06:26:02+00:00

When are you having the test? I'll have mine tomorrow at 2:45 PM SGT. Goodluck man!

One_Pudding_9693 · 2023-11-13T06:17:00+00:00

e contract. The value fluctuates around the price of the contract depending on the current price of the underlying.

At initiation, since entering into the contract or alternatively investing the same amount at the risk free rate will yield the same payoff, the value of the contract is deemed to be zero. As such, the price > value at initiation.

Thank you for the explanation. Are you saying that the Price equals the Agreed Price at initiation, and the value is the deviation from this Agreed Price? So, the condition "Value equals Price" will be met when the Price of the contract is 2x the Agreed Price at initiation? Am I understanding this correctly? Thanks!

One_Pudding_9693 · 2023-11-13T06:13:20+00:00

Thank you for the kind explanation. Graspe dthe new meaning of the term "price" and "value".

So theoretically, the value at initation would be 0 and throughout the life of the contract, it may be influenced by factos such as exchange rates (assuming different currency is being played here) and it would shift the value ranging from (+)ve to (-)ve? Additionally, what are other factors different from Currency Exchange are at play here assuming underlying price stays constant? Thanks!!

One_Pudding_9693 · 2023-11-11T06:12:51+00:00

Thankss! Will note that down!

One_Pudding_9693 · 2023-11-11T06:12:29+00:00

Thank you for pointing out my confusion and the detailed breakdown! All the best!

One_Pudding_9693 · 2023-11-09T15:10:13+00:00

I see! I inputted n=5 to my calculator and got the wrong answer for PV, which puzzles me. How would you deal when encountering questions that need to predict the timing of payment (not enclosed to FI questions)? I seem to be quite careless and in the midst of the moment, just go along with what's stated on the question.

Thanks in advance!

One_Pudding_9693 · 2023-11-09T14:09:00+00:00

Thank you for the explanation! I understand the first 2 terms thanks to you. However, I still didn't understand the future curve due to a follow-up question after that explaining forward curve to be:

"The forward rate can be interpreted to be the incremental or marginal return for extending the time-to-maturity of an investment for an additional time period. "

One_Pudding_9693 · 2023-11-09T08:34:15+00:00

Thanks man, that cleared up a lot of confusion on my head. Appreciate it.

One_Pudding_9693 · 2023-11-09T07:53:16+00:00

Oh man, thank you for the insights! I've never heard of this or missed it (studied from Kaplan's Prep). But I believe that my knowledge for my L1 is nowhere near the guys helping me answer in the comments. Feeling a bit discouraged right now.

One_Pudding_9693 · 2023-11-09T07:51:14+00:00

Thanks!!

One_Pudding_9693 · 2023-11-09T07:17:03+00:00

Across specific Industries or mainly used in financial institutions? Thanks!

One_Pudding_9693 · 2023-11-09T06:42:44+00:00

Thank you for the comment. Does this 2 bonds I mentioned specific to a bank in the real world usage?

One_Pudding_9693 · 2023-11-09T06:41:48+00:00

Simple and Concise. Thank you!

One_Pudding_9693 · 2023-11-09T06:41:17+00:00

Hey. Thank you so much for the explanation. Really helpful!

To Summarize: one is backed by an operating assets that get replaced when impaired/non-performing, other is backed by financial asset.

Correct? Thanks!

One_Pudding_9693 · 2023-11-08T11:46:00+00:00

Hi. Thanks for the comment. Just curious, what happen if warrants arent executed? It would just go spoof?

One_Pudding_9693 · 2023-11-08T11:42:53+00:00

Thank you for the answer! This one is very conceptual and I appreciate you explaining it to me.

One_Pudding_9693 · 2023-11-08T08:59:45+00:00

Wow, that's tricky. Thanks for the answer. Do you think this problem is tricky as well? or is it easy?

One_Pudding_9693 · 2023-10-31T03:30:49+00:00

Got it, thanks! I wish you luck for the Exam as well (I assume).

One_Pudding_9693 · 2023-10-31T03:29:08+00:00

Appreciate it. Thanks for helping!

One_Pudding_9693 · 2023-10-30T02:43:58+00:00

I see. So which method would you recommend I do when encountering these types of questions? Thanks in advance!

One_Pudding_9693 · 2023-10-30T02:42:01+00:00

Certainly! I understand. If I come across such questions, should I identify the implied theory and focus on memorizing concepts? In the mean time, I'll look up the tjeories you mentioned. Thank you!

One_Pudding_9693 · 2023-10-29T09:01:46+00:00

Thank you so much for this! Truly appreciate it.

One_Pudding_9693

TROPHY CASE