New Year Sale 2026! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions

SOFE SOFA-CFE Exam - Topic 8 Question 74 Discussion

Actual exam question for SOFE's SOFA-CFE exam
Question #: 74
Topic #: 8
[All SOFA-CFE Questions]

What provide yields competitive with commercial paper, are interest-bearing instruments issued by banks?

Show Suggested Answer Hide Answer
Suggested Answer: A

Contribute your Thoughts:

0/2000 characters
Tammara
3 months ago
Not convinced, I thought mutual funds could compete too.
upvoted 0 times
...
Jaclyn
3 months ago
C is correct, they offer higher yields than commercial paper.
upvoted 0 times
...
Avery
4 months ago
Wait, are we sure about that? What about A?
upvoted 0 times
...
Joanna
4 months ago
I agree, C seems right!
upvoted 0 times
...
Rolland
4 months ago
Definitely think it's C, Certificates of deposit.
upvoted 0 times
...
Clemencia
4 months ago
Mutual funds don't seem right for this question; I remember they are more about pooling investments rather than being issued by banks.
upvoted 0 times
...
Nelida
4 months ago
I feel like deposit-drafts were mentioned in a practice question, but I don't think they match this definition.
upvoted 0 times
...
Raul
5 months ago
I remember studying money market instruments, but I can't recall if they are specifically issued by banks.
upvoted 0 times
...
Rikki
5 months ago
I think the answer might be certificates of deposit, but I'm not entirely sure. They seem to fit the description.
upvoted 0 times
...
Pamella
5 months ago
Money market funds could also be a possibility, but I don't think that's the right answer here. I'm leaning towards Certificates of deposit as the best choice.
upvoted 0 times
...
Yoko
5 months ago
Okay, I think I've got this. Certificates of deposit are the interest-bearing instruments issued by banks that provide yields competitive with commercial paper. I'm feeling confident about this one.
upvoted 0 times
...
Maia
5 months ago
Hmm, I'm a bit unsure about this one. I'll need to think it through carefully. Maybe I should review my notes on different types of bank instruments.
upvoted 0 times
...
Titus
5 months ago
I'm pretty sure the answer is Certificates of deposit. They are interest-bearing instruments issued by banks and provide yields competitive with commercial paper.
upvoted 0 times
...
Antonio
5 months ago
I think this question is testing our understanding of how the "disable-learning" command affects the VPLS forwarding database. I'll need to carefully read through the options to determine the correct behavior.
upvoted 0 times
...
Maybelle
5 months ago
I'm not sure if option B is the best choice here. Maybe we need to pass a specific record or parameter instead of the entire array. I'll have to review the requirements again.
upvoted 0 times
...
Caitlin
5 months ago
I'm a bit confused. I remember we discussed competitors who compete for income, but is that really the same as generic competitors?
upvoted 0 times
...
Ligia
9 months ago
Wait, is this a trick question? I mean, who Ligian uses deposit-drafts anymore? That's so old-school!
upvoted 0 times
Buck
8 months ago
D) Mutual funds
upvoted 0 times
...
Ben
8 months ago
I still see some banks offering deposit-drafts, but certificates of deposit are definitely more common now.
upvoted 0 times
...
Vallie
9 months ago
C) Certificates of deposit
upvoted 0 times
...
Martina
9 months ago
A) Money market
upvoted 0 times
...
...
Therese
9 months ago
Mutual funds, really? That's like a completely separate investment vehicle from what the question is asking about.
upvoted 0 times
Carey
8 months ago
Yes, certificates of deposit are interest-bearing instruments issued by banks.
upvoted 0 times
...
Portia
8 months ago
I think certificates of deposit are the right answer.
upvoted 0 times
...
Johnna
8 months ago
C) Certificates of deposit
upvoted 0 times
...
Bernardine
9 months ago
A) Money market
upvoted 0 times
...
...
Frank
10 months ago
Deposit-drafts? What is this, the 1950s? I'm pretty sure the modern banking world has moved on from those.
upvoted 0 times
Tanja
8 months ago
D) Mutual funds
upvoted 0 times
...
Ailene
9 months ago
Deposit-drafts may be outdated, but they are still an option for some investors.
upvoted 0 times
...
Robt
9 months ago
C) Certificates of deposit
upvoted 0 times
...
Joanne
9 months ago
Deposit-drafts may be old-fashioned, but they are still a valid option for some investors.
upvoted 0 times
...
Sherrell
9 months ago
C) Certificates of deposit
upvoted 0 times
...
Tracey
9 months ago
A) Money market
upvoted 0 times
...
Mignon
9 months ago
A) Money market
upvoted 0 times
...
...
Armanda
10 months ago
Hmm, money market funds also yield pretty competitive returns. But I think certificates of deposit are the more direct bank-issued instruments mentioned in the question.
upvoted 0 times
...
Luisa
10 months ago
Certificates of deposit? That's the answer I was looking for! Banks issuing interest-bearing instruments, sounds like a no-brainer to me.
upvoted 0 times
Alesia
9 months ago
They are a popular choice for those looking for competitive yields.
upvoted 0 times
...
Hailey
9 months ago
Yes, certificates of deposit are interest-bearing instruments issued by banks.
upvoted 0 times
...
...
Rhea
10 months ago
I'm not sure, but I think it's A) Money market.
upvoted 0 times
...
Patti
10 months ago
I agree with Harris, Certificates of deposit offer competitive yields.
upvoted 0 times
...
Harris
11 months ago
I think the answer is C) Certificates of deposit.
upvoted 0 times
...

Save Cancel