Finans

Question 1

Collateral

Answer 1

Säkerhet, prevalent feature of debt

Question 2

Adverse selection

Answer 2

En part i transaktionen har mer information

Question 3

Moral hazard

Answer 3

Välja bort fuskare

Question 4

Sole proprietorship

Answer 4

Enskild firma

Question 5

Partnership

Answer 5

handelsbolag

Question 6

Limited liability

Answer 6

Limited partnership without general partners

Question 7

Corporations

Answer 7

Aktiebolag

Question 8

Market capitalization

Answer 8

Shares outstanding x market price per share

Question 9

arbitage

Answer 9

Buying and selling equivalent goods in different markets to take advantage of the price difference

Question 10

Debt deflation

Answer 10

Tillgångarna sjunker i värde

Question 11

Shadow banks

Answer 11

Aktiva i kreditmarknaden men som inte är banker

Question 12

Money market

Answer 12

Värdepapper med väldigt låg löptid, låg default risk

Question 13

Strippade obligationer

Answer 13

Obligationer utan kuponger

Question 14

Risk aversion

Answer 14

Aspect of investors preferences regarding safety of an income composed to the risk

Question 15

Why is electronic communication network good?

Answer 15

Allow brokers to trade w/o the need of middleman
Transparency
Cost reduction
Faster execution
After hour trading

Question 16

Common risk

Answer 16

Perfekt correlation

Question 17

Independent risk

Answer 17

Risk that it uncorrelated

Question 18

Types of independent risks

Answer 18

Firm specific risk
Idiosyncratic risk
Unique risk
Unsystematic risk
Diversifiable risk

Question 19

efficient frontier

Answer 19

Those offering the highest possible expected return for a given level of volatility

Question 20

tangent portfolios

Answer 20

Optimal portfolio, where the sharp-ratio is tangent to the efficient frontier of risky investments

Question 21

Beta

Answer 21

Measures the sensitivity of the investment i to the fluctuations of the portfolio

Question 22

CAPM assumptions

Answer 22

123

Question 23

Total assets

Answer 23

total liabilities + capital

Question 24

Secondary reserves

Answer 24

Short term treasury debt, have high liquidity

Question 25

genereal principles of bank management

Answer 25

1. Liquidity management 2. asset management 3. liability management 4. managing capital aldequacy

Question 26

fundamentals of insurance

Answer 26

1-7

Question 27

Monoline insurance

Answer 27

specilize in credit insurance

Question 28

What are ethics

Answer 28

1-5

Question 29

Suitable investments

Answer 29

Risk tolerance, holding horizion, liquidity etc, tax consideration

Question 30

Aktieägaravtal att aldrig gå med på

Answer 30

inte kunna arbete med innehav av något annat, skiljenämnd, advokatkostnad