Examlex
Which of the following would not be used to pay for purchases under the periodic system?
Interest-Rate Risk
The possibility of incurring losses in investments as a result of variations in interest rates, especially impacting fixed-income securities.
Coupon
The interest rate paid by a bond, usually expressed as a percentage of the bond's face value.
Cash Flow Matching
A form of immunization, matching cash flows from a bond portfolio with those of an obligation.
Immunization
A strategy in fixed income investing that aims to make a portfolio's duration and interest rate risk match its liability obligations.
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