Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

U have that the Tranche u BOUGHT has a SD of 20 versus the CDS spread. Assuming that the CDS moves down by 50 bps

image text in transcribed
U have that the Tranche u BOUGHT has a SD of 20 versus the CDS spread. Assuming that the CDS moves down by 50 bps and the principal of the Tranche is 10,000,000 what is going to be the change of the Tranche MV? 1,000,000+1,000,0001,500,000 NONE OF THE ABOVE

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Foundations In Personal Finance

Authors: Dave Ramsey

College Edition

1936948001, 978-1936948000

More Books

Students also viewed these Finance questions

Question

How does actual costing differ from normal costing?

Answered: 1 week ago

Question

What does SMART stand for? (p. 86)

Answered: 1 week ago

Question

=+interactive online components, out-of-home messages, print ads,

Answered: 1 week ago

Question

=+Why does the brand want to advertise?

Answered: 1 week ago

Question

=+12. Did your concept illustrate the brand's personality?

Answered: 1 week ago