Financial Exam Help 123

Month: May 2016

  • Prepaid Variable Forward (PVF)

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    by

    Bill Campbell
    in

    A prepaid variable forward (PVF) is a hybrid security that is quite useful in monetizing a concentrated position in publicly traded stock. In essence, a PVF is a combination of an equity collar and a loan. A simple example will make it clear how a PVF works, and how it can be used to monetize…

  • Equity Indices

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    by

    Bill Campbell
    in

    An equity index is nothing more nor less than a hypothetical stock portfolio. The index pretends to invest in a bunch of stocks, and tracks their performance over time. It’s the sort of thing that you may have done in a high school economics or history class. I did, at least. I don’t intend to…

  • More Currency Exchange Rate Stuff

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    by

    Bill Campbell
    in

    I came across some topics in currency exchange at Level III that seemed to be vexing some candidates, so I thought that it warranted an article.  This will be a catch-all: anything on currency exchange at Level III across which I stumble I’ll include here. Domestic Currency Return vs. Local Currency Return Suppose that your…