Advanced Wealth Management Course (IIBF) - Paper 3
Part II:Ch 9: Ready Forward Contracts or Repos
Q1.
(I) Normal market to CBLO is available for all members (including Associate Members) for settlement on T+0 and T+1 basis. (II) The obligation for CBLOs in the normal market is worked out on gross basis.
Q2.
The repo market is governed by the:
Q3.
Repo transaction are currently carried out only in________.
Q4.
Repos can be undertaken only in:
Q5.
(I) All Repo contracts have to reported on the negotiated dealing system (NDS). (II) All Repos must be settled through the SGL/CSGL account maintained with the RBI with Clearing Corporation of India Ltd (CCIL)
Q6.
(I) Repo helps bank to invest surplus cash. (II) Repo helps investor to achieve money market returns with sovereign risk.
Q7.
The only instrument available to non-banks for managing their liquidity is the reverse repos.
Q8.
Who maintain Current account with RBI?
Q9.
(I) CBLO is an obligation by the borrower to return the money borrowed at a specified future date. (II) Auction market to CBLO is available only to NDS members for overnight borrowing and settlement on T+2 basis.
Q10.
(I) Repos can be used to build up leveraged long positions in securities markets. (II) Repos helps the borrower to raise funds at better rates.