ACI
3I0-012 · Question #44
What is a `duration gap'?
The correct answer is B. the difference between the duration of assets and liabilities. See the full explanation below for the reasoning.
Question
What is a `duration gap'?
Options
- Athe average maturity of liabilities on a balance sheet
- Bthe difference between the duration of assets and liabilities
- Cthe difference between the duration of the longest-held and shortest-held liabilities on the balance sheet
- Dthe average maturity of the portfolio on the asset side of a balance sheet
How the community answered
(37 responses)- A3% (1)
- B81% (30)
- C8% (3)
- D8% (3)
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