Most of the time,the interest rate on Treasury notes is below that on money market securities because of their low default risk.

Question

Quizplus · Accepted Answer

Treasury notes often have lower interest rates than money market securities because they are considered safer investments due to the backing of the U.S. government, not because of their low default risk, which is a characteristic shared by both types of securities. Money market securities may offer higher rates to compensate for their higher risk compared to Treasury notes.

Most of the Time,the Interest Rate on Treasury Notes Is