Series 79 Knopman Marks questions & answers graded A+

Series 79 Knopman Marksfalling interest rates - correct answer an investor who expects interest rates to fall would want a long duration zero coupon bond bond pricing - correct answer if an issuer is disappointed with the amount raised in a debt offering it could increase the interest rate i.e. +200bps to +250 bps bond spreads - correct answer High-yield bonds have wider spreads than investment grade or Treasury bonds yield-to-worst - correct answer bond trade confirmation must include this the lower of the yield to call and yield to maturity IRR - correct answer with LBOs When calculating IRR for a bond or a deal, the timing of cash flows is significant. Also, just because a bond or an investment has greater total cash flow than another investment does not mean it will have a greater IRR yield curves - correct answer nominal inverted humped expect interest rates to rise in nominal