SCRIPT COMPLETE QUESTIONS AND
ANSWERS VERIFIED SOLUTIONS
GRADED A+
◉ Securities Fund Service. Answer: SFS
◉ Swap Execution Facility. Answer: SEF
◉ None Deliverable Forward. Answer: NDF
◉ Direct Custody Clearing. Answer: DCC
◉ Office of Foreign Asset Control. Answer: OFAC
◉ What makes parity important when pricing convertible bonds?.
Answer: The conversation rate can slip out of parity with what a bond
can sell for on the open market. This it is important to do the math on
conversation rate before deciding to convert into common or sell the
bond on the market.
◉ Treasury Receipts. Answer: Are created by brokerage firms from
Treasury Notes that are held in trust and collateralized.