Which of the following is NOT true
A) The bonus structure at banks can lead to short-term horizons for decision making
B) Securitization involves the transfer of risk
C) The term "agency costs" describes the situation where the incentives of two parties in a business relationship are not perfectly aligned
D) Correlations decrease in stressed market conditions

Question

Quizplus · Accepted Answer

A,B,and C are true.D is not because correlations tend to increase,not decrease,in stressed markets,

Which of the Following Is NOT True