You are interested in investing for one day $1,000,000 US dollars in a portforlio consisting of Euros. The exchange rate of the Euro to US dollar has a standard daily deviation of .013 and since the movement up or down is not predictable, the mean gain/loss in $0. With a 5% VAR level (the idea is to estimate the minimum dollar loss on 5% of your trading days) what is the true Value at Risk (VAR) for this Euro investment. Now rework the problem with a 1% VAR level. What is the difference in Value at Risk between the 2 levels of confidence?