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NEW QUESTION: 1
In January, a bank buys a basket of mortgages with a view to securitize them by April. Due to an unexpected lack of investors in the securitization market, it is unable to do so and is left with the exposure to the mortgages on its books. This is an example of:
A. Wrong-way risk
B. Pipeline and warehousing risk
C. Market risk
D. Basis risk
Answer: B
Explanation:
Explanation
This is an example of pipeline and warehousing risk. Generally there is a lag between acquiring assets and securitizing them due to the legal work to be done, the work to be done by the ratings agencies and in finding investors. During this period, the bank is exposed to the underlying assets purchased, and this is the 'pipeline and warehousing' risk as these assets are in the pipeline and warehoused for intended subsequent sale.
Generally this period tends to be short. However, during the credit crisis this became a significant source of risk as many banks were left exposed to risk they had intended to get rid of, but could not do so as the market dried up. The other choices are all incorrect.
Note that pipeline and warehousing risk is also known as 'securitzation risk'. It means that funding from securitization cannot be relied upon as a matter of fact.
NEW QUESTION: 2
What is the Care Program Manager's role in up-selling?
A. To sell Hardware Services and Software Services to the customer.
B. To make presentations about new NSN products to the customer.
C. To get some additional Care services orders.
D. To identify and promote additional services to the customer.
Answer: D
NEW QUESTION: 3
Refer to the exhibit. Which two strings that could be dialed to start a multipoint conference that is hosted by the multipoint control unit? (Choose two.)
A. 0
B. ex90
C. [email protected]
D. 1
E. [email protected]
F. [email protected]
Answer: D,E
NEW QUESTION: 4
A 4-year-old child is lying in bed at night while the parents are sitting in the living room talking to guests.
The child begins to make loud noises. In the past, the parents have gone into the child's room to quiet him.
The parents and guests agree to ignore the child completely and continue to talk. If the parents stick with this approach and the child stops making noises, the parents have successfully used.
A. negative reinforcement.
B. extinction.
C. planned ignoring.
D. time-out.
Answer: B
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