ACI 3I0-012 Online Practice Questions and Exam Preparation

ACI 3I0-012 Online Questions & Answers

• Question 551:

  For which one of the following disputes is the Chairman and members of the ACI's CFP ready to assist through the ACI's Expert Determination?

  A. all legal disputes
  B. disputes related to market practice or conduct as set out in the Model Code or in any other Code of Conduct
  C. disputes between two market participants, at least one of them being a member of ACI
  D. disputes related to over-the-counter financial instruments as detailed in appendix four of the Model Code
  D. disputes related to over-the-counter financial instruments as detailed in appendix four of the Model Code

• Question 552:

  Dealers are allowed to trade for their own account only if:

  A. they have good track records in dealing both for their institution and for themselves
  B. there have been no previous conflicts of interest in the dealing room
  C. there is a clearly defined and written policy about the matter
  D. the dealers see no conflict of interest in such dealing
  C. there is a clearly defined and written policy about the matter

• Question 553:

  What is the Overnight Index for GBP?

  A. SONIA
  B. STINA
  C. STONIA
  D. EONIA
  A. SONIA

• Question 554:

  Brokers should confirm all transactions:

  A. Initially by fax or other acceptable electronic means, then in writing.
  B. Only if the deal is between overseas counterparties and for value today.
  C. Only if the transaction is not for a marketable amount.
  D. To both counterparties immediately by fax or other acceptable electronic means.
  D. To both counterparties immediately by fax or other acceptable electronic means.

• Question 555:

  The major difference between FRAs and futures is that FRAs are:

  A. Exchange-traded
  B. Margined
  C. Standardized
  D. Dealtoverthe counter
  D. Dealtoverthe counter

• Question 556:

  What does the Model Code say concerning repos and stock-lending?

  A. Legal documentation must be put in place as soon as possible after transaction.
  B. All market participants should use the Modified Previous Business Day Convention.
  C. The exact maturity (end) dates for transactions must be agreed as soon as possible after a transaction.
  D. All market participants should use the Modified Following Business Day Convention.
  D. All market participants should use the Modified Following Business Day Convention.

• Question 557:

  Click on the Exhibit Button to view the Formula Sheet, If the value date of forward USD/JPY transactions is declared a holiday in either New York or Tokyo, the correct value date will be:

  A. The value date of the centre which is open.
  B. The next business day of the centre which is closed.
  C. The next business day when both NewYork and Tokyo are open.
  D. None of the above.
  C. The next business day when both NewYork and Tokyo are open.

• Question 558:

  The popularity of FX-trading via Internet platforms has serious implications for the applicability of traditional rules such as "Know Your Customer". Which of the following are correct?

  A. "Know Your Customer" rules cannot be applied online and banks will have to rely instead on new safeguards such as third-party authentication.
  B. "Know Your Customer" rules apply only to retail customers and are therefore irrelevant to currency trading.
  C. In practice, banks can avoid "Know Your Customer" rules by limiting online deal size to EUR 100,000.00 or equivalent.
  D. No trading should be carried out without first identifying and setting up the counterparty; this includes "Know Your Customer" procedures.
  D. No trading should be carried out without first identifying and setting up the counterparty; this includes "Know Your Customer" procedures.

• Question 559:

  Taking collateral to hedge the credit risk on a counterparty means that you have:

  A. Eliminated credit risk
  B. Eliminated market risk
  C. Taken a guarantee from the issuer of the collateral
  D. Taken on market, legal and operational risks
  D. Taken on market, legal and operational risks

• Question 560:

  Your GBP/CHF rate is 1.3710-15. How many GBP would your customer have to give you to buy CHF 10,000,000.00?

  A. 7,291,286.91
  B. 7,293,946.02
  C. 13,710,000.00
  D. 13,715,000.00
  B. 7,293,946.02