Which of the Following Statements Is Incorrect

question 33

Multiple Choice

Which of the following statements is incorrect?

• A)Investing in a zero-coupon asset with a maturity equal to the desired investment horizon is one method of immunising against changes in interest rates.
• B)Investing in a zero-coupon asset with a maturity equal to the desired investment horizon removes interest rate risk from the investment management process.
• C)Buying a fixed-rate asset whose duration is exactly equal to the desired investment horizon immunises against interest
• D)Using a fixed-rate bond to immunise a desired investment horizon means that the reinvested coupon payments are not affected by changes in market interest rates.

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Definitions:

Pubic Region

The area of the lower abdomen located above the genitalia and below the belly button, part of the pelvis.

Epigastric Region

An area of the abdomen located just above the stomach and below the ribs, often associated with abdominal organs like the liver and pancreas.

Umbilical Region

The central area of the abdomen located around the navel or umbilicus, commonly used as a reference point in anatomy.

Lungs

The primary organs of the respiratory system, responsible for gas exchange where oxygen is absorbed and carbon dioxide is released.