Inicio
/
Negocios
/
__ Risk Is the Risk That an Investment Could Decline as a Result of a Change in Interest Rates a Credit B Interest Rate C Liquidity D

Problemas

__ risk is the risk that an investment could decline as a result of a change in interest rates a Credit b Interest rate C Liquidity d Asset

Roztwór

Ismael professionell · Tutor durante 6 años
Weryfikacja ekspertów
4 (277 Votos)

Respuesta

The correct answer is b) Interest rate.Interest rate risk refers to the risk that an investment could decline in value due to changes in interest rates. When interest rates rise, the value of existing investments with lower interest rates, such as bonds, may decrease. This is because new investments will offer higher returns, making the existing investments less attractive. Conversely, when interest rates fall, the value of existing investments with higher interest rates may increase.