For conservative investors who invest in Government of Canada Bonds, all of the following risk factors should be considered when forming a bond portfolio, except:

Question

Quizplus · Accepted Answer

Credit risk is minimal for Government of Canada Bonds because they are backed by the Canadian government, which is considered a very low-risk issuer. The other options (interest rate risk, reinvestment rate risk, and duration of portfolio) are relevant risk factors for bond investors.

For Conservative Investors Who Invest in Government of Canada Bonds