ACI 3I0-010 Exam Practice Test Instant Access

Question 1

The use of a bilateral netting scheme for FX settlements results in:

Aone net settlement per currency, per counterparty, per day

Bone net settlement per currency, per day

Cone net settlement per day

Dmultiple settlements per currency, per counterparty, per day for those netted settlements

Answer : A

Question 2

You receive a trade to process with counterparty settlement instructions that differ from those you hold on your standard settlement instruction file (SSI).

AYou should make the payment in accordance with the SSI you are holding without referring to your dealer or contacting the counterparty

BYou should make the payment in accordance with the trade instructions

CYou should check the SSI with your dealer and contact the counterparty to seek his specific instructions

DYou should not make the payment

Answer : C

Question 3

In a scenario where long-term interest rates are higher than short-term interest rates, the yield curve would best be described as:

Aflat

Bnegative or inverse

Cpositive

Dneutral

Answer : C

Question 4

What are the components of a FX swap?

Atwo opposing spot trades

Ba spot trade and a forward trade

Ca cash trade with same-day settlement and a forward trade

Dan outright and a barrier option

Answer : B

Question 5

In FX swaps, the rate of the spot leg

Amay be freely chosen by the quoting party as long as both parties agree on it

Bmust always be fixed immediately at the current mid rate, to reflect the rate at the time the deal was made

Cshould be fixed immediately within the current spread, to reflect current rates at the time the transaction was made

Dshould always be fixed off the current spread in order not to be mistaken for a spot FX transaction

Answer : C

Question 6

Which kind of report is a reconciliation system unable to produce?

AA 'probable matched items report' (a report in which most fields match but there are some discrepancies)

BA 'calculated fees report' (a report of the expected fees owed)

CA 'matched items report' (a report of all fields that match)

DAn 'unmatched items report' (a report of items for which one is unable to find matches)

Answer : B

Question 7

Which of the following institutions is not a cross-border clearing house?

AMonte Tittoli Milano

BEuroclear Brussels

CClearstream Banking Luxembourg

DSWIFT

Answer : D

ACI Operations Certificate 3I0-010 Exam Practice Test