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Answer the following questions. a. Sumitomo Bank's risk manager has estimated that the VaRs of two of its major assets in its trading portfolio, foreign

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Answer the following questions. a. Sumitomo Bank's risk manager has estimated that the VaRs of two of its major assets in its trading portfolio, foreign exchange and bonds, are -$150,000 and -$2250,000, respectively. What is the total VaR of Sumitomo's trading portfolio if the correlation among assets is assumed to be 1.0? b. On December 31, 2001 Historic Bank had long positions of 200,000,000 Japanese Yen and 50,000,000 Swiss Francs. The closing exchange rates were 92/$ and Swf 1.89/$. What were the respective positions of the two currencies in dollars

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