Australian Government Securities Do Not Have Any Default Risk and Are

question 83

True/False

Australian government securities do not have any default risk and are the best proxy measure for the risk-free rate.

---

Definitions:

Securities and Exchange Commission

A U.S. government agency that oversees securities transactions, activities of financial professionals and mutual fund trading to prevent fraud and intentional deception.

Governmental Body

An organization or agency that is part of the government, responsible for enforcing laws, regulations, and providing public services.

Net Change

The difference between the closing price of a security on the trading day and its closing price on the previous trading day.

Wall Street Journal

A well-known international daily newspaper focusing on finance, business, and economic news, as well as market developments.