3I0-013 Exam Dumps - ACI Operations Certificate challenging

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Question # 57

In the weekend newspapers you read that one of your FX counterparties has gone into liquidation. You have no netting or close-out agreements in place with this counterparty and remember that you have one forward deal outstanding. What is the main risk affecting your bank?

The loss of the entire principal amount of the deal

The â€œreplacement riskâ€, also known as â€œreplacement-cost riskâ€

The loss of the negative mark-to-market value of the deal

As the deal is in the future, there is no impact on P&L

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