ACI Dealing Certificate 3I0-012 Question # 386 Topic 17 Discussion

ACI Dealing Certificate 3I0-012 Question # 386 Topic 17 Discussion

3I0-012 Exam Topic 17 Question 386 Discussion:
Question #: 386
Topic #: 17

Which one of the following statements about mark-to-model valuation is correct?


A.

Mark-to-model valuation is used for exchange-traded positions to ensure correct pricing.


B.

Asset managers are not allowed to use mark-to-model valuation.


C.

Mark-to-model valuation is used for complex financial instruments; it is always accurate and in line with potential tradable prices.


D.

Mark-to-model valuation refers to prices determined by financial models, rather than actual market prices.


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