The risk structure of interest rates is
A)the structure of how interest rates move over time.
B)the relationship among interest rates of different bonds with the same maturity.
C)the relationship among the term to maturity of different bonds.
D)the relationship among interest rates on bonds with different maturities.

Question

Quizplus · Accepted Answer

The risk structure of interest rates refers to the relationship among interest rates of different bonds with the same maturity, which is influenced by the credit risk associated with each bond.

The Risk Structure of Interest Rates Is