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NEW QUESTION: 1
An asset has a volatility of 10% per year. An investment manager chooses to hedge it with another asset that has a volatility of 9% per year and a correlation of 0.9. Calculate the hedge ratio.
A. 1.2345
B. 0.9
C. 0.81
D. 0
Answer: D
Explanation:
Explanation
The minimum variance hedge ratio answers the question of how much of the hedge to buy to hedge a given position. It minimizes the combined volatility of the primary and the hedge position. The minimum variance hedge ratio is given by the expression [ (x) / (y) ] * (x,y)]. Effectively, this is the same as the beta of the primary position with respect to the hedge.
In this case, the hedge ratio is = 10%/9% * 0.9 = 1

NEW QUESTION: 2
A security analyst receives an alert from a WAF with the following payload:
var data= "<test test test>" ++ <../../../../../../etc/passwd>"
Which of the following types of attacks is this?
A. Buffer overflow
B. JavaScript data insertion
C. Firewall evasion script
D. SQL injection
E. Cross-site request forgery
Answer: B

NEW QUESTION: 3
Your customer wants to automate off-cycle payroll tasks such as printing forms, execution of posting run,
and printing checks. Which tool is best suited for this ?
Note: Please choose the correct answer.
A. Interface Toolbox
B. Payroll control record
C. Off-Cycle Workbench
D. HR Process Workbench
Answer: D

NEW QUESTION: 4
Controls should be defined during the design phase of system development because:
A. it is more cost-effective to determine controls in the early design phase.
B. technical specifications are defined during this phase.
C. structured analysis techniques exclude identification of controls.
D. structured programming techniques require that controls be designed before coding begins.
Answer: B