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Question
Which of the following is a risk of using credit derivatives?
A. Credit derivatives do not protect against credit risk exposure.
B. The partner in a swap or an option contract may fail to perform.
C. Regulators may decide to lower the amount of capital needed for banks using these derivatives.
D. Regulators may decide that these derivatives make the bank more stable and efficient.
E. All the options are risks of using credit derivatives
Answer
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Related questions
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