All Else Equal, Advantages of a DI Operating as an Asset

question 58

Multiple Choice

All else equal, advantages of a DI operating as an asset broker in regard to mortgages includes all of the following EXCEPT

• A)lower regulatory taxes.
• B)increased fee-based income.
• C)increased liquidity.
• D)decreased asset and liability duration mismatch.
• E)increased capital requirements.

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Definitions:

Cognitive Development Theory

A theory proposed by Jean Piaget that explains how children develop logical thinking and cognitive reasoning through distinct stages as they grow.

Sensorimotor Stage

A developmental phase from birth to about 2 years of age, where infants learn about their environment through their sensory perceptions and motor activities.

Object Permanence

The concept that items maintain their existence even when they are out of sight, sound, or beyond sensory perception.

Motor Development

The progression of muscular coordination required for physical activities, influenced by genetic and environmental factors.