A shortcoming of swaps that has led to the domination of the swaps market by large firms and financial institutions is
A)the lack of privacy.
B)need to assess creditworthiness.
C)desire for more flexibility.
D)limited size of the market.

Question

Quizplus · Accepted Answer

The need to assess creditworthiness is a significant barrier to entry for smaller firms and individuals who may not have the resources to conduct the necessary due diligence. This has led to larger firms dominating the swaps market. The other options (A, C, D) are not major factors contributing to the domination of the swaps market by large firms and financial institutions.

A Shortcoming of Swaps That Has Led to the Domination