An FI that has liability maturities longer than asset maturities faces the risk that the return of reinvesting assets could exceed the cost of funding those assets.
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Q15: FIs that make long-term loans are less
Q16: If an FI holds long-term assets funded
Q17: An FI is exposed to reinvestment risk
Q18: Diversification in the loan portfolio of an
Q19: Credit risk stems from non-repayment or delays
Q21: During a liquidity crisis assets might be
Q22: One cause of liquidity risk occurs when
Q23: Direct foreign investment and foreign portfolio investment
Q24: Foreign exchange risk is that the value
Q25: Returns from domestic and foreign investments may
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