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Hi David. I read this banner in the GARP website in the 'After the Exam' section. Could you please clarify or correct me if the results are already released and we are not able to see the same. The phrase Exam results Released is misleading. Thanks Bhar

The solution to this comes to 4.2 while in the choices the answer has only 4. How does GARP actually justify this large differences in actual answers vs choices provided ?

What is the value of a 2 step EUR call option? st = 40; rf = 8%; 2 step eur call; k=37; proportion of up move = 1.2; probablity of up move = .67; t = 3 months

Hi On Page 29, Index futures contract - example to reduce the beta from 1.5 to 1.2, the answer should be 9.67 contracts and not 97 contracts. Could you please clarify. The problem details are - Current Beta - 1.5 Target Beta - 1.2 Present Portoflio Value = 10m Index contract price , 1 contract...

Hi Current Position - Long Call; Position Delta +ve; Delta Neutralising trx - short stock Current Position - Short Call; Position delta -ve; Delta Neutralising trx - Long stock Current Position - Long Put; Position Delta -ve; Delta Neutralising trx - Long stock Current Position - Short Put...

Hi I came across this assignment problem in Hull. I tried to solve it but would like to get a correct answer to this problem. Could you please help. I have ignored the vega neutralising requirement from the original question as it is low testability. The answer I got - Gamma Neutralising trade...

Hi In the mock Exam question number - 10 - the solution for R^2 is mentioned as True: Beta(P w.r.t. B) = correlation*vol(P)/vol(B), such that correlation = beta(P,B)*vol(B)/vol(P) and R^2 = Beta^2*vol(B)^2/vol(P)^2. In this case, R^2 = 0.8650*1.4090%^2/1.3240%^2 = 0.8474 In the substitution...

Hi David On Page 114, in the notes, the formula (in blue) for Adjusted exposure would require a small correction. It should be AE = OS + (UGD% * Unused Commitment) Could you clarify.

What is a quarterly rate of 8.00% converted into its bond-equivalent (semi-annual) rate? Answer: we can take the long way and find the continuous equivalent, which is equal to LN(1.02)*4 = 7.92105%. Then convert that to the semi-annual rate, which is equal to [EXP(7.92105%/2) – 1]*2 = 8.080%...

Hi David On Page 58 of Study note - 2012 T4 Valuation. Could you please help with the formula for the column Equivalent Periodic Return. I am not able to get the rate that you have solved for. Thanks