Mock questions will test your ability to price and value swaps, forwards, and options under pressure. 3. The "Three-Stage" Mock Strategy
Ethics is now embedded into item sets. You might see a research analyst’s email, followed by: “According to Standard V(A) – Diligence and Reasonable Basis, the analyst most likely violated the standard by:” – testing application, not just recall.
A company has a $100 million bond issue outstanding with a 5-year maturity and a 6% coupon rate. The bond is trading at 95. The company's credit rating has recently been downgraded, which is expected to increase the bond's yield to maturity. If the bond's yield to maturity increases by 50 basis points, what is the expected change in the bond's price?