ACI
3I0-012 · Question #633
You and a dealer at another bank have an informal bilateral reciprocal arrangement to quote each other two-way prices. During periods of high volatility, the other dealer refuses to quote to you…
The correct answer is B. It is a purely matter for your two institutions. See the full explanation below for the reasoning.
Question
You and a dealer at another bank have an informal bilateral reciprocal arrangement to quote each other two-way prices. During periods of high volatility, the other dealer refuses to quote to you. The Model Code states that
Options
- AThe other dealer should act with honour, honesty and integrity.
- BIt is a purely matter for your two institutions.
- CSuch arrangements are not in any way enforceable or binding.
- DAll of the above.
How the community answered
(22 responses)- A5% (1)
- B77% (17)
- C5% (1)
- D14% (3)
Community Discussion
No community discussion yet for this question.