As of 2012, Banks Must Report Their the Liquidity Coverage

question 73

True/False

As of 2012, banks must report their The Liquidity Coverage Ratio (LCR) to the CDIC rather than to OSFI.

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Definitions:

Inflation Rate

The speed at which the overall price level of goods and services increases, leading to a reduction in buying power.

Annual Coupon Bonds

Bonds that pay interest to bondholders once a year until maturity, at which point the principal is repaid.

Yield To Maturity

The total return anticipated on a bond if it is held until its maturity date, expressed as an annual rate.

Duration

A measure of the sensitivity of the price of a bond or other debt instrument to changes in interest rates, often used as an indicator of interest rate risk.