Which of the following is true regarding U.S. Government Agency Securities?
A) They carry the federal government's full faith and credit guarantee.
B) They do not carry the federal government's full faith and credit guarantee.
C) They are insured by the FDIC.
D) They are treated the same as U.S. Treasury bonds with regard to the federal government's full faith and credit guarantee.

Question

Quizplus · Accepted Answer

U.S. Government Agency Securities do not carry the federal government's full faith and credit guarantee, unlike U.S. Treasury bonds. They are issued by government-sponsored enterprises (GSEs) and while they may have a certain level of government backing, it is not the full guarantee that comes with Treasury securities.

Which of the Following Is True Regarding U