Which of the following is not a reason for financial institutions to engage in interest rate swaps?

Name: Which of the following is not a reason for financial institutions to engage in interest rate swaps?
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Question

Quizplus · Accepted Answer

All of the options listed are reasons for financial institutions to engage in interest rate swaps. They use swaps to manage interest rate risk, act as intermediaries to facilitate swaps between other parties, and act as dealers to profit from the spread between buying and selling swaps.

Which of the Following Is Not a Reason for Financial