The Process Where Financial Intermediaries Create and Sell Low-Risk Assets

question 29

Multiple Choice

The process where financial intermediaries create and sell low-risk assets and use the proceeds to purchase riskier assets is known as

• A)risk sharing.
• B)risk aversion.
• C)risk neutrality.
• D)risk selling.

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Definitions:

Documentation

The capture, recording, and maintenance of documents or records that provide evidence or information pertaining to a specific topic or activity.

Persuade

To persuade is to convince someone to do or believe something through reasoning, argumentation, or appeal to emotions.

Audience Oriented

A communication approach tailored to meet the specific needs and preferences of the targeted audience.

Convey Information

The process of communicating or transmitting knowledge from one person or group to another.