A highly liquid financial instrument with a maturity of 90 days would be traded in:
A) the money market.
B) the bond market.
C) the share market.
D) none of the above.

Question

Quizplus · Accepted Answer

A financial instrument with a maturity of 90 days is a short-term instrument and would typically be traded in the money market where short-term debt securities, such as Treasury bills and commercial paper, are bought and sold. The bond market and share market typically deal with longer-term instruments, such as bonds and stocks, respectively.

A Highly Liquid Financial Instrument with a Maturity of 90