Perfectly Effective Hedges Using Interest Rate Swaps Will Always

question 115

Multiple Choice

Perfectly effective hedges using interest rate swaps will always

• A) exactly match maturity dates with the underlying debt.
• B) minimize interest expense.
• C) maximize gains in bond values caused by interest rate fluctuations.
• D) all of the above.

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The process of directing or guiding something along a pathway or through a specific medium.

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