Top Research Professionals
The research experts and assignment help team consists exclusively of highly qualified graduate writers, each professional with in-depth subject matter expertise and significant experience in custom academic writing.
Boost Your Final Grades By Ordering Custom Writing Help!
For similar papers and sample answers; with a few clicks, Order your research paper, thesis, dissertation writing and other assignment help services
Posted: February 19th, 2022
Case Study essay
Case Study 2
Advanced Risk Management
Due: Feb 1st, 2022, 8am
1 Instructions
1. Read the case study ìCredit General, S.A.îin your course reader.
2. The case states that on the pre-speciÖed maximum sterling position,
Credit General had a daily 99 percent VAR of DM 4.4 million and a
10-day 99 percent VAR of 13.8 million. Use the data in the study to
verify (approximately) that these VAR numbers are accurate.
3. At the end of the day, Credit General had a realized daily loss of DM
10.50 million and a total (including unrealized) loss of DM 34.51 million. How can you reconcile the loss with the 4.4 million VAR number
computed in the previous question? The realized loss was about 2.5
times larger than the VAR and the total loss was a staggering 8 times
as large as the VAR. Was the VAR calculation grossly inaccurate or
did something else go wrong?
4. Write a memo on behalf of Mr. Pierre Marson to the Board of Directors
of Credit General. Explain why the realized losses are larger than the
VAR measures. In your memo, be sure to use the analysis from points
1-3 above.
5. In the memo you must also make a recommendation on how to decrease
the exposure to pound sterling.
(a) Delineate several possible ways of decreasing Credit Generalís
exposure to the pound.
(b) Analyze the two possibilities that seem viable to you.
(c) Explain which of the two seems more appropriate to implement.
(d) Be speciÖc on what trades you would take, the amounts of the
trades, and what would be the expected outcome of these trades.
(e) Compute the VAR of the portfolio with the decreased pound
exposure.
1
—
Advanced Risk Management Case Study 2
Due date: February 1st, 2022, at 8 a.m.
1 DIRECTIONS
1. In your course reader, read the case study Credit General, S.A.
2. According to the case, based on the predetermined maximum sterling position,
Credit General had a daily 99 percent VAR of DM 4.4 million and a
10-day 99 percent VAR of 13.8 million. Use the data in the study to
verify (approximately) that these VAR numbers are accurate.
3. At the end of the day, Credit General had a realized daily loss of DM
10.50 million and a total (including unrealized) loss of DM 34.51 million. How can you reconcile the loss with the 4.4 million VAR number
computed in the previous question? The realized loss was about 2.5
times larger than
Study Notes, Research Topics & Assignment Examples: Plagiarism Checkers; turnitin, copyscape, safeassign, plagiarismsearch »Should Animals be Treated Equally?Why Choose our Custom Writing Services
We prioritize delivering top quality work sought by college students.
Discounted Pricing
Our custom writing services maintain the highest quality while remaining affordable for students. Our pricing for research papers, theses, and dissertations is not only fair considering the superior quality but also competitive with other writing services.
0% Similarity Index
We guarantee plagiarism-free, human-written content. Every product is assured to be original and not AI-generated. Our writers, tutors and editors are research experts who ensures the right formating and citation sytles are followed. To note, all the final drafts undergo rigorous plagiarism checks before delivery for submission to ensure authenticity for our valued customers.
How it works
When you decide to place an order with Dissertation Help, here is what happens: