How Does a Bond Dealer Generate Profits When Trading Bonds

question 79

Multiple Choice

How does a bond dealer generate profits when trading bonds?

• A)by maintaining bid prices lower than ask prices
• B)by maintaining bid prices higher than ask prices
• C)by retaining the bond's next coupon payment
• D)by lowering the bond's coupon rate upon resale

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Definitions:

Glocalization

A strategy that combines global approaches to local markets by adapting products or services to fit local cultures and preferences.

Multi-Cultural

Having, relating to, or representing several different cultures or cultural elements.

Standardized Global

involves applying uniform marketing strategies and product offerings across different countries and cultures, aiming for efficiency and consistency.

Globalization

The process of interaction and integration among people, companies, and governments worldwide, leading to increased interconnectedness and interdependence.