6. What is the most common method for calculating interest on currencies?
Actual/Actual
Actual/360
Actual / 365
30/360
7. What do characters 1-4 of the LEI identifier identify?
the unique alphanumeric string assigned by the LOU
Local operating unit (LOU)
Business reg code
Checksum digits
8. Who created the LEI standard?
MiFID II
Dodd-Frank
FCA
ESMA
9. What code are countries usually identified by?
2-character ISO code
3-character ISO code
1-character ISO code
6-character ISO code
10. What Counterparty Agreement covers trading in swaps and OTC Derivitives?
CASS
ISDA
MiFID II
ICMA
11. What is the coding system used by exchanges and clearing houses in NA markets only?
ISIN
CUSIP
SEDOL
Ticker
12. What technical IT challenges does reference data repository pose?
Lack of reliable ref data elements.
Cost
Complexity of integrating systems including packaged apps
Speed of regulatory change
13. A firm is setting up internal reference data information to supply its business apps. So far it has included "base currency" and "comission rates and calc methods". What is the 3rd internal data ref it is missing?
Entry date
Interest
Credit Limits
Settlement currency
14. What are Transaction Reports used for by the FCA?
To identify market abuse
To identify compliance breach
To identify market risk
To identify credit risk
15. What is the unique instrument identifier used for currencies?
MT950
ISO
ISIN
CUSIP
16. What is the confirmation process when the sell-side firm is dealing with a MARKET COUNTERPARTY?
Mutual exchange of confirmations
Mutual exchange of confirmation or matching engine
trade confirmation (retail client responds if there's a problem)
17. Where are off exchange transactions reported to?
APA (Authorised publication Arrangement)
MiFIR
AMA
FCA
18. An ISDA Master Agreement is being drawn up in relation to a swaps trade. What needs to be entered on the pre-printed section of the form, apart from the relevant signatures?
the BIC code
The names of the parties
The country of jurasdiction
The effective date
19. Why was the LEI standard created?
To understand and monitor systematic risk
To understand and monitor IT risk
To understand and monitor credit risk
To understand and monitor market risk
20. Why have some firms built separate reference data repositories (RDRs)?
To ensure data across different systems / apps in configuration is consistent
