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Huawei H19-426_V1.0

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NEW QUESTION: 1
An investor in mortgage backed securities can hedge his/her prepayment risk using which of the following?
I. Long swaption
II. Short cap
III. Short callable bonds
IV. Long fixed/floating swap
A. II and IV
B. I and IV
C. II and III
D. I and III
Answer: D
Explanation:
Explanation
Mortgage backed securities carry prepayment risk as borrowers tend to prepay mortgages when rates fall, and substitute it with newer cheaper mortgages. This creates the issue of 'negative convexity' for mortgages, ie, they lose value when rates rise, but do not gain in value when rates fall.
Prepayment risk can be offset by instruments that also carry negative convexity. A swaption is an option to borrow in the future at an agreed rate, which may be fixed or floating. An option to borrow in the future paying floating and receiving fixed guards against losses when rates fall, as the option can be exercised for a profit when rates are declining and the mortgage portfolio is being prepaid. A callable bond is very similar to an MBS in that the issuer can call it back when rates fall. Thus a long position in an MBS can be offset by a short position in a callable bond. Thus I and III are valid choices.
A cap allows exchanging fixed for floating when interest rates rise above an agreed rate. A long cap position allows borrowing at a fixed rate in exchange for floating, and a short cap implies receiving fixed and paying floating when rates go above the strike rate. Prepayment risk arises from falling interest rates, therefore a short cap will not protect against such a risk as falling interest rates would mean that no payments would be exchanged. Thus II does not help hedge against the risk in question.
A long position in a fixed for floating swap would require paying fixed and receiving floating when rates are falling. This would just make the problem from prepayments worse as the position would pay fixed and receive a falling rate. Thus IV is not an appropriate way to hedge prepayment risk.

NEW QUESTION: 2
レポートテンプレートを作成するとき、特定のサブネットのアクティビティのみを表示するように結果を制限するにはどうすればよいですか?
A. レポートの各セクションで、X軸としてIPアドレスを選択します。
B. テーブルビューセクションをレポートに追加し、検索フィールドをCIDR形式のネットワークとして定義します。
C. Firepower Management Centerでカスタム検索を作成し、レポートの各セクションで選択します。
D. レポートの詳細設定で入力パラメーターを追加し、タイプをネットワーク/ IPに設定します。
Answer: D

NEW QUESTION: 3
When a business analyst performs requirements tracing, he may need to trace the requirements backward through their lineage and may need to trace the requirements forward through their relationship to other requirements. What is the forward tracing activity called in requirements traceability?
A. Derivation
B. Allocation
C. Backwards pass
D. Lineage tracking
Answer: B
Explanation:
Explanation
Allocation is the forward tracking of a requirement to future requirements in the set of requirements.
Answer C is incorrect. Backward tracing of a requirement is called its derivation, as the requirements may be
derived from other older requirements.
Answer A is incorrect. Lineage tracking is not a valid term, so this choice is not valid.
Answer B is incorrect. Backwards pass isn't a valid requirements tracing term; it describes a process in
schedule management.

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    Huawei H19-426_V1.0 (HCSP-Presales-Wide Area Network Planning and Design V1.0)

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    Download H19-426_V1.0 Sample Questions

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    Huawei H19-426_V1.0 (HCSP-Presales-Wide Area Network Planning and Design V1.0)

    VCE Exam Simulator Q&A : 347
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