An FI's net exposure can be measured as: A) (FX liabilities_i - FX assets_i) + (FX bought_i - FX sold_i) B) (FX liabilities_i - FX assets_i) + (FX sold_i - FX bought_i) C) (FX assets_i - FX liabilities_i) + (FX sold_i - FX bought_i) D) (FX assets_i - FX liabilities_i) + (FX bought_i - FX sold_i)

Question

Quizplus · Accepted Answer

Net exposure is calculated by taking the difference between FX assets and liabilities, and adding the net position from FX bought and sold.

An FI's Net Exposure Can Be Measured As