L1Original starter · Free

Rates, quotes and returns

Part of the Markets learning and recruiting path. Read the explanation and example, attempt the task, then open the self-check.

Understand

Identify quote direction and units before calculating. A basis point is 0.01 percentage point. Yield changes and price changes are different quantities. Distinguish Hong Kong currency arrangements from global interest rates.

Worked example

A rate from 4.00% to 4.25% rises 25 basis points, or 6.25% relative to its old level. These answer different questions.

Examples and numbers are educational, not employer questions, live market data or hiring criteria.

Practise and keep your output

Express a move from 3.5% to 3.2% in percentage points and basis points; identify the base currency in an FX quote.

Keep inputs and sources, assumptions, steps, results and uncertainties in your own document. Attempt independently before checking below.

After attempting: answer and self-check

The change is −0.3 percentage point, or −30 basis points. State which currency one unit of the quote represents.

Official channels and further reading

Pathline authors these starter lessons. These supplementary field links do not imply provider review or endorsement. Confirm Hong Kong availability and eligibility separately.