ICMA FMFQ Exam - Topic 4 Question 96 Discussion

Question

ICMA FMFQ Exam - Topic 4 Question 96 Discussion

You purchase a USD Treasury Bill. Which of the following sentences best describes the trade you have done?

A) You have purchased a credit risk free security for which you have paid face value and will receive at maturity face value plus accrued interest

C) You have purchased an interest rate risk free security for which you have paid face value and will receive at maturity face value plus accrued interest

D) You have purchased an interest rate risk free security for which you have paid less than face value and will receive at maturity face value

Accepted Answer

B) You have purchased a credit risk free security for which you have paid less than face value and will receive at maturity face value

ICMA FMFQ Exam - Topic 4 Question 96 Discussion

ICMA FMFQ Exam - Topic 4 Question 96 Discussion

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