Multiple Choice
Which combination of the following represent the risks that a swap dealer confronts. (i) interest rate risk
(ii) basis risk
(iii) exchange rate risk
(iv) political risk
(v) sovereign risk
A) (i) ,(ii) ,(iii) ,and (v)
B) (i) ,(iii) ,and (iv)
C) (iii) ,(iv) ,and (iv)
D) (i) ,(ii) ,(iii) ,(iv) ,and (v)
Correct Answer:

Verified
Correct Answer:
Verified
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