Explain the term CGARCH as of the GARCHs family
Explain the term CGARCH as of the GARCH’s family.
Expert
CGARCH: It is component GARCH. This models variance like the sum of two or more ‘components.’ Within a two-component model, for illustration, one component is used to capture short-term and other the long-term effects of shocks. Therefore this model has the long memory; slow decay of volatility appears in practice.
Briefly explain the operating leverage effect and the reason for it to occur? What are the advantages and limitations of high operating leverage?
Define back-to-back loan. A back-to-back loan involves two parties only. One MNC borrows and re-lends directly to another.
Explain the term REGARCH as of the GARCH’s family. Answer: REGARCH: It is a Range-based Exponential GARCH. It models the low to high ran
How many prices have in practice option for put–call parity?
factors of the growth of the margin market in recent years
How is risk and return related to the market as a whole? Give an example.
Describe multinational corporations (MNCs) and economic roles do they play?A multinational corporation (MNC) can be described as a business firm incorporated in one country which has production & sales operations in several other countries.
In integrated world financial market, a financial crisis in a country can be quickly transmitted to other countries, causing global crisis. What sort of measures would you suggest to stop the recurrence of Asia-type crisis? Q : Functional form of coefficients in Explain the term functional form of coefficients in finite-difference methods.
Explain the term functional form of coefficients in finite-difference methods.
Illustrates an example of Option Adjusted Spread. Answer: Analyses by using Option Adjusted Spreads are common within Mortgage-Backed Securities (MBS).
18,76,764
1951181 Asked
3,689
Active Tutors
1417400
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!