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ACI

3I0-012 · Question #55

Which of the following is typical of liquid assets held by banks under prudential requirements?

The correct answer is A. prices increase during a systemic crisis. See the full explanation below for the reasoning.

Question

Which of the following is typical of liquid assets held by banks under prudential requirements?

Options

  • Aprices increase during a systemic crisis
  • Breturn on investment is relatively high
  • Cabsence of active market makers
  • Dwide bid/offer spreads

How the community answered

(37 responses)
  • A
    78% (29)
  • B
    3% (1)
  • C
    5% (2)
  • D
    14% (5)

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