CFA Level 1 － Mock Exam 2 模拟真题－Q101-105

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101、An analyst determined that if interest rates increase 120 basis points the price of a bond would be $89.70, but if interest rates decrease 120 basis points the price of that bond would be $99.30. If the initial price of the bond is $95.40, the approximate percentage price change for a 100 basis point change in yield is closest to:

Select exactly 1 answer(s) from the following:

A. 2.5%.

B. 4.2%.

C. 8.4%.

D. 10.0%.

102、For an A- rated corporate bond that has deteriorating fundamentals, but is expected to remain investment grade, the greatest risk is most likely:

Select exactly 1 answer(s) from the following:

A. event risk.

B. default risk.

C. liquidity risk.

D. credit spread risk.

103、 Fred Perry, CFA, purchased $100,000 of a newly issued Treasury inflation protection security based on the following characteristics and information.

Issuance Date:

January 1, 2008

Issuance Price:

$1,000

Maturity:

10 years

Auction set real rate:

2.00%

Interest payable:

Annually

CPI-U (Applicable Inflation Index):

5.00% (annual rate)

The coupon payment at the end of one year is closest to:

Select exactly 1 answer(s) from the following:

A. $2,000.

B. $2,100.

C. $5,000.

D. $7,000.

104、 A portfolio manager is considering investing a portion of her fixed income portfolio in a security whose cash flows are dependent on an underlying pool of mortgages. The portfolio consists of Treasury bonds, corporate bonds and Ginnie Mae passthroughs. The security being considered is Tranche B of a collateralized mortgage obligation (CMO). The underlying collateral is a Ginnie Mae passthrough security. The rules of the CMO state that Tranche A is the first to receive monthly principal. By investing in Tranche B of the CMO, the portfolio manager will most likely reduce portfolio:

Select exactly 1 answer(s) from the following:

A. credit risk.

B. inflation risk

C. sovereign risk.

D. prepayment risk.

105、Hub Global, Inc. has issued two classes of debt securities to finance its operations, a first mortgage bond and debenture bonds. All else equal, will the default and recovery rates of the debenture likely be higher than the first mortgage bond?

Default rate?

Recovery rate?