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1. True – False. Bottom-up investment approaches areduration management, yield curve positioning and sectorselection.

2. Would an asset backed security typically pay more or lessinterest than a comparable non-asset backed security? (thinkrisk)

3. Please briefly describe a credit default swap:

4.Why is predicting prepayments important for mortgage backedsecurities? When would we typically see higher prepayments

5. A money market fund has hit the value of $0.99 cents. Ithas

a)Broken the buck

b)It will not implement shadow pricing

c)It will continue to trade as normal

6. Please compare and contrast fundamental vs quantitativeresearch:

7.True/False. Technical analysis seeks to predict stockperformance by examining price trends.

8. Briefly describe what a spread is on a trade order? What doesit say about liquidity?

9.Please briefly describe Market Impact in relation to largetrades:

10. What is a basket trade? (think mutual funds)

11. When we say a broker is working a trade what doesthat mean and what is the goal?

12. True/False. Hedge funds and other large moneymanagers do not like to use dark pools because it exposes theirstrategy to the market.

13. How would you contrast a value vs growth stock?

14. True/False Bottom-up investment approaches areissue selection and predicting calls or prepayments

15. In an environment of rising interest rates a zero couponbond with a 5 year maturity would have:

a)A duration less than 5 years

b)A duration equal to 5 years

c)A duration greater than 5 years