ACI 3I0-010 Online Practice Questions and Exam Preparation

ACI 3I0-010 Online Questions & Answers

• Question 221:

  Which is the most accurate definition of Euro Commercial Paper - "Short-term promissory notes issued in bearer form with a maturity of"

  A. > 30 days < 360 days
  B. > 360 days < 5 years
  C. > 180 days < 365 days
  D. > 1 day < 365 days
  D. > 1 day < 365 days

• Question 222:

  A broker:

  A. is an agent who mediates between buyers and sellers, for their mutual financial interest
  B. controls country limits in cooperation with the compliance officer
  C. is responsible for reducing transaction fees
  D. acts as a correspondent bank
  A. is an agent who mediates between buyers and sellers, for their mutual financial interest

• Question 223:

  Which SWIFT message type is NOT accepted in TARGET2?

  A. SWIFT message type 103+
  B. SWIFT message type 202
  C. SWIFT message type 204
  D. SWIFT message type 210
  D. SWIFT message type 210

• Question 224:

  CLS stands for which of the following:

  A. Continuous Linked Settlement
  B. Cash Limit Standards
  C. Credit Linked Securities
  D. Correspondent Limit System
  A. Continuous Linked Settlement

• Question 225:

  Your dealer has sold a 3x6 USD 10,000,000.00 FRA at 5. 55%. On settlement day the 3-month (90-day) fixing is 5. 45%. What would you do?

  A. pay USD 2,466. 40
  B. receive USD 2,465. 79
  C. pay USD 2,465. 79
  D. receive USD 2,466. 40
  D. receive USD 2,466. 40

• Question 226:

  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
  C. the separation between front/back office duties

• Question 227:

  Depending on the interest rates of the two currencies involved, the forward foreign exchange rate:

  A. can only be higher or equal to the current spot rate
  B. can only be lower or equal to the current spot rate
  C. can never be equal to the current spot rate
  D. can either be higher, lower or equal to the current spot rate
  D. can either be higher, lower or equal to the current spot rate

• Question 228:

  Today is Monday, 8 December. You sell a 9x12 FRA in EUR. When will the settlement amount be paid or received, assuming that there are no bank holidays?

  A. 8 September
  B. 10 September
  C. 8 December
  D. 10 December
  B. 10 September

• Question 229:

  The depositary of your securities:

  A. is responsible only for the settlement of those securities
  B. is responsible only for safeguarding the securities that you have on your account
  C. is responsible for safeguarding both the securities that you have on your account and their settlement
  D. is never responsible for safeguarding securities
  C. is responsible for safeguarding both the securities that you have on your account and their settlement

• Question 230:

  The risk that an institution will experience a loss on a trade or a position due to an adverse exchange/ interest rate movement is best described as:

  A. operational risk
  B. market risk
  C. systemic risk
  D. credit risk
  B. market risk