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Not In Order
AFM
answered on 18-Feb-24 15:00
Sir ,After E-Lecture 6 there is no Continuation for 7 and 8 but video 6 continuation is in line from line could you please arrange video 7 and 8 in there respective order
latest answer
In term strucute theories i mentioned abt convertible bonds and debetures. However i later decided to cover them later - they are covered from s.no 31 onwards video 26 ... the videos are in order only . i will delete last portion of video " Term Structure Theories - II"
Surya Prakash
CA Final
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Security Valuation
AFM
answered on 20-Feb-24 09:47
Sir, in case of question which require the application of IRR, will the rates be ?
latest answer
Yes try 10 % first and then try a couple of more variations
Swathi Krishna
CA Final
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3
377
Calculation of portfolio risk
AFM
answered on 18-Feb-24 10:24
Is there any calculation mistake in the illustration 5 (T590 compiler) - Portfolio Management? Portfolio variance for me comes to 99.45 & risk to 9.97 but in answer it shows variance as 88.89 & risk as 9.43
latest answer
You are right - had modified the video had not yet updated the compiler - will be updating the compiler in next version sometime next week
VISAAGAN R
CA Final
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345
Interest rate risk
AFM
answered on 17-Feb-24 22:10
When the libor rate becomes 8.65 percent isn't that the rate when the bank will be receiving Rs.3833/- I e the compensation given by the other party... Why are we not considering that.. can't we adjust that as well against the interest?
latest answer
Bank has given a loan as libor + 2%, it will receive all payments from borrower as per that loan agreement if Libor is 8.65 then it will receive 10.65% if L is 4% then bank will receive 6% ( libor + 2) Floorlet is another agreement between 3rd party and the bank - if interest rate falls below 8.5% the 3rd party will pay bank the money Both these agreement s are with 2 diff parties but have to be looked together to find out effective income from the loan lent by the bank
Vindhya Y.V
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Security Valuation
AFM
answered on 17-Feb-24 22:01
Sir, what is the difference between the YTM and Bond Forward rate?
latest answer
This is bootstrapping of interest rates / term structure of interest rates - explained in class. it is given in ICAI SM too
Swathi Krishna
CA Final
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5
372
Exchange margin 0.1%
AFM
answered on 17-Feb-24 09:50
Why exchange margin not considered while selling $50K in spot market on 10/9 and buying optionally deliverable forward contract
latest answer
Over and above normal exchange margin, whenever interbank rates are given and bank has to enter into a one side trans due to cancellation request from customer, exchange margin will be applicable & it will be on the last cancellation by the bank.
Mehnas Ali
CA Final
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Forex
AFM
answered on 14-Feb-24 14:50
Why we have used 1.240 rate instead of 1.235?
latest answer
We use forward and spot rate to convert depending on when the conversion is done. If today we use spot and if in future we spot forward
anmol goel
CA Final
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356
Foreign Exchange Exposure and Risk Management
AFM
answered on 14-Feb-24 14:48
While calculating equivalent amount of pound required to pay the above sum....Why we have used 1.5430 rate instead of 1.5475?
latest answer
It is after 3 months so we have to use forward rate to convert. If it is today we will use spot
anmol goel
CA Final
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417
Alternative method
AFM
answered on 14-Feb-24 14:46
Can we solve this by considering that Ram makes separate hedge contracts for X ltd and Y ltd (Nifty 330 sell contracts and Nifty 400 buy contracts) by taking their beta receptively and without taking weighted average beta?
latest answer
U can do net shares buy or sell to avoid brokerage for each transaction
shamanth rm
CA Final
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243
Futures illustrations
AFM
answered on 14-Feb-24 05:56
PDF of Illustrations of Futures is not available. Please provide the same
latest answer
Entire set is available under resources
shamanth rm
CA Final
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1
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