A Bank Following A(n)_________________________ Liquidity Management Strategy Must Take Care

question 97

Multiple Choice

A bank following a(n) _________________________ liquidity management strategy must take care that assets with the least profit potential are sold first.

• A)asset conversion
• B)liability management
• C)availability
• D)funds source
• E)None of the options is correct

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Definitions:

Diversification

A strategy of investing in a variety of assets to reduce risks associated with any single investment.

SWOT Analysis

A strategic planning tool that assesses the Strengths, Weaknesses, Opportunities, and Threats related to a business or project.

External Consideration

The evaluation of external factors or circumstances that might affect decisions, actions, or outcomes.

Positioning Activities

Marketing efforts aimed at shaping the perception of a product or brand in the target market's mind, relative to the competition.