When a bank has a positive duration gap a parallel increase in the interest rates on the assets and liabilities of the bank will lead to a(n)__________________ in the bank's net worth.
Correct Answer:
Verified
Q33: Money market deposits are included as part
Q34: A bank is _ against changes in
Q35: One part of interest-rate risk is _.This
Q36: Interest sensitive assets divided by interest sensitive
Q37: The interest-rate risk which arises when a
Q39: Interest sensitive assets less interest sensitive liabilities
Q40: One of the principal goals of asset-liability
Q41: Interest-sensitive gap and weighted interest-sensitive gap will
Q42: Interest-sensitive gap techniques do not consider the
Q43: Banks with a positive cumulative interest-sensitive gap
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents