Some investments are subject to credit risk. This means that the borrowers may not repay on a timely basis.

Name: Some investments are subject to credit risk. This means that the borrowers may not repay on a timely basis.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Credit risk refers to the possibility that a borrower will default on their obligations, meaning they may not repay their debt on time or in full, which is a risk associated with some types of investments.

Some Investments Are Subject to Credit Risk