2014 April Question 3 Can I get the meaning of subordinated debt ? 2014 April Question 4 Can I get a underlying explanation on this question? 2014 April Question 5 Can I know why The Australian company will receive a partial refund of its margin payment from the futures clearing house. ?
Hi Q3 : Subordinated debt is described in Section 1.4 of Chapter 4. Is there something in particular that's not clear? Q4 : Convertible loan stock is described in Chapter 4 too, so that's my suggested starting point for an explanation. Again, it will be easier for someone to respond to your query if you can narrow down the problem perhaps. Q5 : US dollar strengthening would be a source of profit for the Australian company. The nature of futures is that losses/profits are settled/received daily via the margin payments (rather than waiting until the end of the futures contract).