If the average maturity of assets is 4 years and the average maturity of liabilities is 4 years, then the FI has no interest rate risk exposure.
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Q41: The repricing model incorporates cash flow effects
Q42: A positive gap implies that an increase
Q43: The repricing gap does not accurately measure
Q44: Overaggregation within maturity buckets using the repricing
Q45: The repricing model ignores market value effects
Q47: If interest rates increase 75 basis points
Q48: An FI finances a $250,000 2-year fixed-rate
Q49: When repricing all interest-sensitive assets and all
Q50: The risk that the returns on funds
Q51: If interest rates decrease 40 basis points
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