1. In his interview, Tom Day commented on the evolution of credit risk measurement and what lies in its future. Describe how credit risk modeling developed from early beginnings, its current limitations and how new technologies are using data for advanced credit risk analytics.
2. List 3 types of documents that you need to obtain in order to design suitable legal and financial covenants for a medium-term loan to a manufacturing joint-venture.
3. Name 2 types of investments suitable for redemption in each of the following liquidity buckets: a) 2 days, b) 2 months, c) 1 year.