ACI
3I0-012 · Question #587
If a dealer has any intention of assigning an interest rate swap to a third party soon after transacting that swap:
The correct answer is B. The dealer should make his intention to assign clear before transacting. See the full explanation below for the reasoning.
Question
If a dealer has any intention of assigning an interest rate swap to a third party soon after transacting that swap:
Options
- AThe dealer should not reveal his future dealing intentions to his counterparty.
- BThe dealer should make his intention to assign clear before transacting.
- CThe dealer should agree the method of assignment before transacting.
- DThe counterparty should specify whether or not assignment would be acceptable in negotiations.
How the community answered
(55 responses)- A4% (2)
- B85% (47)
- C2% (1)
- D9% (5)
Community Discussion
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