Which One of the Following Risks Would a Floating-Rate Bond

question 78

Multiple Choice

Which one of the following risks would a floating-rate bond tend to have less of as compared to a fixed-rate coupon bond?

• A)real rate risk
• B)interest rate risk
• C)default risk
• D)liquidity risk
• E)taxability risk

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Definitions:

Communication Competency

The ability of an individual to effectively convey, receive, and interpret messages, both verbally and non-verbally, within various contexts.

Constructive Feedback

Information provided to an individual aimed at improving performance or behavior, intending to be helpful and supportive rather than critical.

Active Listening

A communication technique that involves giving full attention, understanding, responding, and remembering what is being said.

Communication Competency

The ability to effectively convey, receive, and interpret messages and information through verbal, non-verbal, and written means.