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Which of the following statements in NOT true of money market products?
Suggested Answer: C
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30 comments · newest first
AR
Artie
11 months ago
I thought money market products were super safe, not sub-investment grade!
JA
Jamal
11 months ago
Yep, they can definitely include different credit risks.
MO
Mozell
11 months ago
Wait, are you saying they’re only from banks? That sounds off.
KI
Kindra
12 months ago
Totally agree, they can be issued by more than just banks!
IL
Ilona
1 year ago
Money market products usually have maturities under a year.
EL
Elza
1 year ago
I practiced a question like this before, and I think C is definitely the odd one out since corporations can issue money market products too.
AR
Arletta
1 year ago
I vaguely recall that money market products can cover a range of credit risks, which makes D sound right. But I’m uncertain if C is the one that's not true.
MI
Mindy
1 year ago
I remember studying that money market products can be interest bearing or discount instruments, so B should be true. But C is confusing because I thought only banks issued them.
WE
Wenona
1 year ago
I think money market products usually have short maturities, so A seems true. But I'm not sure about C; I feel like other entities issue them too.
MI
Mitsue
1 year ago
I'm feeling a little lost on this one. Can someone give me a quick refresher on the basics of money market products? I want to make sure I understand the key characteristics before trying to answer.
MI
Mitsue
1 year ago
Okay, I've got this. Money market products are short-term, typically less than a year to maturity, and can be either interest-bearing or discount instruments. They are issued by a range of entities, not just banks. I'll select the option that contradicts those facts.
SH
Shantay
1 year ago
Hmm, I'm a bit unsure about this one. The options seem pretty similar, so I'll need to carefully read through each statement to identify the one that is not true.
LA
Lavelle
1 year ago
This looks like a straightforward question on money market products. I'll start by reviewing what I know about the key characteristics of money market instruments.
CA
Catarina
2 years ago
Haha, I bet the people who wrote this question were having a field day coming up with these tricky options!
BR
Brent
2 years ago
C) Money market products are only issued by banks
VA
Van
2 years ago
B) Money market products can be either interest bearing or discount instruments
NO
Noel
2 years ago
A) Money market products are typically less than a year to maturity
ST
Stefany
2 years ago
I think Option D is the correct answer here. Money market products cover a wide range of credit risk, from the safest to the more speculative.
PO
Polly
2 years ago
Yes, it's important to understand the different levels of risk in money market products.
HE
Henriette
2 years ago
I didn't know that, thanks for sharing.
EL
Elbert
2 years ago
That's true, they can range from credit risk free to sub-investment grade.
LE
Letha
2 years ago
I agree, option D is correct. Money market products cover a range of credit risk.
LE
Leontine
2 years ago
Hmm, that makes sense. Thanks for sharing your perspective.
DE
Delbert
2 years ago
Option C is definitely not true. Money market products can be issued by a variety of institutions, not just banks.
MA
Marguerita
2 years ago
D) Money market products cover a range of credit risk from credit risk free to sub-investment grade
TA
Tawny
2 years ago
C) Money market products are only issued by banks
BR
Breana
2 years ago
B) Money market products can be either interest bearing or discount instruments
LI
Lisandra
2 years ago
A) Money market products are typically less than a year to maturity
MA
Mammie
2 years ago
I disagree, I believe the correct answer is D) Money market products cover a range of credit risk from credit risk free to sub-investment grade.
LE
Leontine
2 years ago
I think the answer is C) Money market products are only issued by banks.