Cisi Introduction To Securities And Investments Study Guide Rated A+

FPC {Ans: Responsibility of "macro prudential" policy. Regulation of the financial system. Power to make recommendations on a comply-or-explain basis to the PRA and FCA.}Spot transaction {Ans: T+2 - Rate quoted by a bank}Future contract features {Ans: - Exchange traded - Dealt on standardized terms (date, quality, quantity) all set only price negotiable.}Mandatory corporate action w/ options {Ans: An action that has a default option that will occur without holder intervention. Until date that the default option occurs, holder has the option to choose differently.}CDS {Ans: The buyer makes periodic payments to the seller. In return the buyer receives an agreed compensation if there is a credit event.}How much does the FSCS insure? {Ans: Up to £85K}Xetra DAX {Ans: German}Rights issue {Ans: A method to raise capital. Allows existing shareholders the option to subscribe for new shares. Shareholders must be given the option to buy new shares before public to prevent share dilution.}Dividend yield formula {Ans: Dividend / Market cap * 100 OR Dividend per share / Share price * 100.}PRA Fundamental Rules {Ans: 1) Conduct business w / integrity. 2) Conduct business w/ skill, care & diligence. 3) Act