1. If you are an investor to UK and would like to go long in pound,
• You are afraid of price of pound going up
• You are afraid of price of pound going down
• You are expecting price of pound going up
• You are expecting price of pound going down
2. Calculate the value of a bond that matures in 11 years and has a $1,000 par value. The annual coupon interest rate is 12 percent and the market's required yield to maturity on a comparable-risk bond is 15 percent.
The Value of the bond is $____