Which of the Following About P-Notes Is Incorrect

question 20

Multiple Choice

Which of the following about P-notes is incorrect?

• A) Commercial paper issued in the euromarkets uses a 360-day convention.
• B) The credit rating of a P-note issuer needs to be investment grade.
• C) A dealer panel is chosen on their ability to distribute the paper to the market.
• D) If the lead manager has arranged a tender panel, then the members of the panel do not have any obligation to buy.

---

Definitions:

Industrial Regulation

Policies and laws designed to control the activities and standards of industries to protect consumers, workers, and the environment.

Federal Communications Commission

A federal agency in the United States charged with overseeing communications across state lines and internationally, including those via radio, TV, wire, satellite, and cable.

Jurisdiction

The official power or legal authority to make decisions and judgments within a specific geographic area or over certain types of legal cases.

Social Regulation

Rules and standards imposed by governments to protect public health, safety, and welfare, including environmental and workplace regulations.