Which of the Following Is False

question 81

Multiple Choice

Which of the following is false?

• A)Swaps allow two parties to hedge interest rate risk for a long period of time, often up to say 15 years.
• B)Interest rate swaps allow two parties to trade interest rate streams so that inflows more closely match outflows.
• C)A fall in interest rates will hurt an intermediary that is holding fixed rate assets and variable rate liabilities.
• D)Swaps originated in 1982.

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Definitions:

Personality

The combination of characteristics or qualities that form an individual's distinctive character, shaping their patterns of thought, feelings, and behaviors.

Factor

An element contributing to a particular result or situation.

Surface Traits

Observable qualities or characteristics of an individual's personality that can easily be inferred from behavior, as opposed to deeper, less observable traits.

Personality Characteristics

Traits that describe an individual's consistent patterns of thought, feeling, and behavior.