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3I0-013 · Question #265

3I0-013 Question #265: Real Exam Question with Answer & Explanation

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Question

You are an issuer of a straight bond and you want to change your exposure from a fixed rate to a floating rate because you expect a fail in interest rates. What would you do?

Options

  • ABuy an IRS
  • BSell an IRS
  • CBuy a FRA
  • DDo nothing because the bond coupon is already a fixed rate

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