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Question
A bank with long-term fixed-rate assets funded with short-term rate-sensitive liabilities could do which of the following to limit their interest rate risk?
I. Buy a cap.
II. Buy an interest rate swap.
III. Buy a floor.
IV. Sell an interest rate swap.
A. I and II only
B. III only
C. I and IV only
D. II and III only
E. III and IV only
Answer
This answer is hidden. It contains 1 characters.
Related questions
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