Which of the following is most risky at a time of fluctuating interest rates?

Question

Quizplus · Accepted Answer

Corporate bonds are generally riskier than U.S. Treasury bills and large negotiable bank CDs, as they carry a higher level of credit risk. Fluctuating interest rates can further increase the risk of investing in corporate bonds, as changes in rates can significantly impact the value of fixed-income securities. Commercial paper is also a riskier choice in this scenario, as it is typically short-term debt issued by corporations with less creditworthiness than government entities.

Which of the Following Is Most Risky at a Time