Multiple Choice
Which of the following transactions would have the effect of shortening the average duration of liabilities in the banking book?
A) selling holdings of 30-year German Government bonds
B) replacing retail savings accounts with 3-month borrowings under repo
C) selling futures contracts on 30-year German Government bonds
D) placing a 20-year covered bond in the market
Correct Answer:

Verified
Correct Answer:
Verified
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