Which of the following is not a reason investors are attracted to asset-backed securities?
A) Investors are often protected by a bond insurer.
B) These securities often have investment-grade credit ratings.
C) These securities have relatively high yields.
D) These securities are generally long-term, stable investments.

Question

Quizplus · Accepted Answer

Asset-backed securities are not necessarily long-term, stable investments; they are structured to reflect the cash flows of the underlying assets, which can vary in term and stability.

Which of the Following Is Not a Reason Investors Are