The Liquidity Coverage Ratio Imposed by Basel III Requires a Bank

Multiple Choice

The Liquidity Coverage Ratio imposed by Basel III requires a bank:

A) to keep enough highly liquid assets to cover its net liabilities for the next 10 days to guard against severe liquidity stress
B) to keep enough highly liquid assets to cover its net liabilities for the next 30 days to guard against severe liquidity stress
C) to keep enough highly liquid assets to cover its net liabilities for the next 60 days to guard against severe liquidity stress
D) to retain enough liquidity to cover its assets against severe default risk