Which of the following is NOT an internal method of interest rate risk management?
A) Changing the timing of cash flows
B) Changing the structure of the balance sheet to minimise exposure
C) Using forward rate agreements
D) Imposing a financial penalty for early repayment of a loan
Correct Answer:
Verified
Q60: All things being equal,the duration of a
Q61: In general,all other factors held constant,the longer
Q62: Which of the following duration analysis is
Q63: Two basic strategies for reducing the effects
Q64: Which of the following is a technique
Q66: If a fall in interest rates causes
Q67: With a four-year bond of face value
Q68: As part of risk management when a
Q69: Because of convexity of the price/yield curve
Q70: If a rise in interest rates causes
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