AIWMI Exam CCRA-L2 Topic 6 Question 77 Discussion

Actual exam question for AIWMI's CCRA-L2 exam

Question #: 77
Topic #: 6

[All CCRA-L2 Questions]

A holder of which of the following types of bonds is least likely to suffer from rising interest rates?

AFloating rate bonds

BFixed rate bond

CZero-coupon bonds

Show Suggested Answer

Suggested Answer: B

by Emerson at Nov 22, 2023, 04:29 PM

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Layla

3 months ago

Floating rate bonds, baby! Ride the waves of rising rates like a surfing champion. What could go wrong?

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Corrina

4 months ago

Wait, are we talking about bonds or bondage? I'm confused, but I'll go with the zero-coupon option. Less baggage, you know?

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Dexter

3 months ago

Floating rate bonds would be the best option to avoid losses from rising interest rates, but zero-coupon bonds are a safer choice for stability.

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Frederica

3 months ago

I agree, zero-coupon bonds don't pay interest until maturity, so they are less affected by interest rate changes.

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Rosendo

3 months ago

I think we're talking about bonds, not bondage. Zero-coupon bonds are a good choice to avoid the impact of rising interest rates.

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Crissy

4 months ago

Fixed rate bonds? Nah, I don't want to be stuck with a low rate when the market goes up. I'm all about that floating life!

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Isreal

2 months ago

Zero-coupon bonds might be affected by rising rates too, so floating rate bonds are a safer bet.

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Fredric

2 months ago

Fixed rate bonds can be risky in a rising interest rate environment.

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Michael

2 months ago

Yeah, with floating rate bonds, your interest payments adjust with the market, so you're not stuck with a low rate.

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Stephaine

3 months ago

I agree, floating rate bonds are the way to go when interest rates are rising.

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Krystal

4 months ago

Zero-coupon bonds? Sounds like a good option to me. No pesky coupons to worry about.

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Teresita

3 months ago

B: Yeah, with no coupons to worry about, they are less affected by rising interest rates.

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Nilsa

3 months ago

A: I agree, zero-coupon bonds seem like a safe choice.

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In

3 months ago

Zero-coupon bonds are a good choice because they don't pay interest until maturity.

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Marcelle

3 months ago

Floating rate bonds would be the least affected by rising interest rates.

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Karan

4 months ago

I'm not sure, but I think C) Zero-coupon bonds might also be a good choice since they don't pay interest until maturity.

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Jacklyn

4 months ago

I agree with Whitley. Floating rate bonds have interest rates that adjust with market rates.

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Whitley

4 months ago

I think the answer is A) Floating rate bonds.

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Lenora

4 months ago

Floating rate bonds, definitely! The interest rate adjusts with market changes, so I'm not worried about rising rates.

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Isidra

3 months ago

Floating rate bonds are definitely the safest option when it comes to rising interest rates.

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Fletcher

3 months ago

Zero-coupon bonds might be affected by rising rates, but floating rate bonds are designed to protect against that.

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Yvonne

3 months ago

Fixed rate bonds can be risky when interest rates go up, so I prefer the flexibility of floating rate bonds.

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Pete

3 months ago

I agree, floating rate bonds are the way to go in a rising interest rate environment.

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