A. Reinvestment risk
B. Interest rate risk
C. Investment risk
D. Both A and B
Related Mcqs:
- The price of treasury notes and treasury bonds without including accrued interest is classified as ____________?
A. clean price
B. full price
C. dirty price
D. accrued price - As compared to Treasury bonds, the trading of municipal bonds in trading market is considered as _________?
A. more index inflation
B. less indexed inflation
C. less active
D. more active - Considering the bonds characteristics, the corporate and treasury bonds have many ___________?
A. different characteristics
B. similar characteristics
C. nearer characteristics
D. bearer characteristics - Bonds issued by corporations and exposed to default risk are classified as_________?
A. Corporation bonds
B. Default bonds
C. Risk bonds
D. Zero risk bonds - Considering the yields of bonds, the secured bonds as compared to unsecured bonds have
A. higher yields
B. lower yields
C. untimed yields
D. termed yields - Notes, mortgages, bonds, stocks, treasury bills and consumer loans are classified as______________?
A. Financial instruments
B. Capital assets
C. Primary assets
D. Competitive instruments - The treasury bonds and notes pay the interest rate is classified as ________?
A. LIBOR rate monthly
B. coupon interest monthly
C. coupon interest semiannually
D. coupon interest annually - The financial instruments such as treasury bonds and notes have
A. lesser cost fluctuations
B. wider price fluctuations
C. less price fluctuations
D. wider cost fluctuations - The types of notes and bonds issued by Treasury are ___________?
A. fixed principal
B. inflation indexed
C. coupon index
D. both A and B - The type of bonds which does not have U.S treasury as collateral and are swapped for outstanding loans are classified as _____________?
A. collateral bonds
B. sovereign bonds
C. primary bonds
D. secondary bonds