Dear Sir,
While calculating number of contracts required, why 6/3 is used?
Ask the Tutor ACCA AFM
Lurgshall Co
6y ago#1We multiple by 6 because the loan will be for 6 months. We always divide by 3 because they are always (in the exam) 3 month futures.
The reason for this (and all the other 'rules') is explained in detail in my free lectures on interest rate risk management.
What we need to get distinction in this paper
OT notes +lectures + revision kit are sufficient ?
6y ago#3Yes, provided you also read all of the technical articles on the ACCA website.
(In future, please start a new thread when it is a different topic - your post has nothing to do with the question Lurgshall Co).
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