Which of the following liability products does not have withdrawal risk?
A)wholesale CDs
B)money market deposit accounts
C)cheque and retail saving accounts
D)All of the given options have withdrawal risk.

Question

Quizplus · Accepted Answer

Wholesale CDs are typically purchased by institutional investors and have a fixed maturity date, meaning there is no withdrawal risk for the bank. Money market deposit accounts and cheque and retail saving accounts, on the other hand, have the potential for customers to withdraw their funds at any time, creating withdrawal risk for the bank.

Which of the Following Liability Products Does Not Have Withdrawal