Duration Matching Is a Desirable Interest Rate Risk Management Tool

question 1

True/False

Duration matching is a desirable interest rate risk management tool as it captures changes in interest rates over long periods of time.

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Definitions:

Sphincters

Circular muscles that constrict passages or openings in the body, regulating the flow of substances within various organs.

Cartilage

Firm, smooth, resilient, nonvascular connective tissue.

Fauces

Space between the cavity of the mouth and the pharynx.

Gastric Phase

A phase of digestion that occurs in the stomach, initiated by the presence of food, which triggers acid secretion and gastric enzyme activity.