Which Combination of the Following Statements Is True About the Risks

question 15

Multiple Choice

Which combination of the following statements is true about the risks that a swap dealer confronts:
(i) - interest rate risk
(ii) - basis risk
(iii) - exchange rate risk
(iv) - mismatch risk
(v) - sovereign risk

• A) (i), (ii), (iii), and (v)
• B) (i), (iii), and (iv)
• C) (iii), (iv), and (iv)
• D) (i), (ii), (iii), (iv), and (v)

---

Definitions:

Crisis

Marcia’s term for the period of conscious decision making related to identity formation.

Gusii

An ethnic group in Kenya known for their distinct cultural practices and language.

Expectations

Beliefs or anticipations about the way events or situations are supposed to unfold in the future.

Generativity

A stage in Erik Erikson's theory of psychosocial development usually occurring during middle adulthood, focusing on the desire to produce something that makes a difference to society.