Wya et ready The daily yield changes are assumed to be normally distributed, with the mean yield change estimated to be 0.015%, and with a standard deviation of 2.5%. What is the maximum yield change expected if a 90 percent confidence (one tailed) limit is used? In other words, what is the threshold yield change that we have confidence that the realized yield change will be smaller than this threshold with 90% of the chances? Tips: For a Standard Normal Distribution, we have: z = 2.576 for cumulative probability of 0.995 z = 2.326 for cumulative probability of 0.990 nd n bro Kam da Delivered z = 1.960 for cumulative probability of 0.975 z = 1.645 for cumulative probability of 0.950 z = 1.282 for cumulative probability of 0.900 Sumitomo Bank's risk manager has estimated that the DEARs of two of its major assets in its trading portfolio, foreign exchange and bonds, are -$150,000 and -$250,000, respectively. What is the total DEAR of Sumitomo's trading portfolio if the correlation among assets is assumed to be 0.3? Hints: The formula to calculate DEAR of a portfolio which consists of two assets is as follows: DEAR portfolio = V DEAR}x + DEAR + 2PFX,BX DEAR EX * DEAR