Pass the ACI ACI-Financial 3I0-012 Questions and answers with CertsForce

all legal disputes

disputes related to market practice or conduct as set out in the Model Code or in any other Code of Conduct

disputes between two market participants, at least one of them being a member of ACI

disputes related to over-the-counter financial instruments as detailed in appendix four of the Model Code

When trading in financial products described by the Model Code, dealers and voice brokers need not clarify whether they propose to use standard terms.

Standard terms and conditions should be signed bilaterally by senior management of both principals before any applicable market transactions are entered into.

When using legal agreements any proposed modifications or choices offered in the agreement must be clearly stated as soon as the trade is agreed.

For many instruments, standard master agreements issued by recognized authorities need not be signed by senior management of the principals intending to transact business.

A maturity analysis of a bank’s interest-bearing assets and interest-bearing liabilities.

A method used to measure how much each source of funding is contributing to overall profitability.

A calculation of the spread between the duration of the interest-bearing assets and the interestbearing liabilities.

The evaluation and management of the gap between a bank’s volume of loans and deposits.

when a trade has been agreed to with dates (maturities) different from the standard dates

when one of the parties to the deal unilaterally decides to withdraw from the on-going transaction

when, due to a system break, one or both parties to the deal chooses to withdraw from the ongoing transaction

when, due to a system break, one or both parties to the deal are unclear as to whether the deal has been done

...only at the discretion of the head of treasury.

...only at the discretion of the head of trading.

...as long a counterparty and issuer limit is in place.

... is not permitted.

pared points

Depends on the term

Depends on whether it is interbank or to a customer

Depends on the currency pair

The Head of Operations has the sole responsibility of ensuring the correctness and validity of the SSI set up.

SSIs should be stored and maintained in the bank’s general static data system.

Each institution should have a separate SSI team to prevent I minimise the potential risk of fraud.

SSI staff should be fully integrated within Operations to insure consistent and reliable settlement guidelines.

14th December

15th December

16th December

17th December

The following Monday

Saturday

Sunday

The previous Friday

You will have to pay USD 5,925.00

You will receive USD 5,925.00

You will have to pay USD 3,675.00

You will receive USD 3,675.00

Financial institutions have to establish procedures for handling limit breaches that are in accordance with their decision-making hierarchy.

If a partial limit violation does not exceed the overall limit, no reaction is required.

The definition of escalation levels is not required in order to react appropriately to different sorts and intensities of limit breaches.

It is adequate and proper to define reactions only to standard cases of limit violations.

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