SOFE
AFE · Question #35
A mismatch in the timing of asset maturities relative to policy benefits requiring either reinvestment or disinvestment by the insurer at uncertain future interest rates is known as:
The correct answer is B. Maturity Mismatch Risk. See the full explanation below for the reasoning.
Question
A mismatch in the timing of asset maturities relative to policy benefits requiring either reinvestment or disinvestment by the insurer at uncertain future interest rates is known as:
Options
- AReliable Mismatch Risk
- BMaturity Mismatch Risk
- CChange Mismatch Risk
- DRisk Variance
How the community answered
(23 responses)- A4% (1)
- B78% (18)
- C4% (1)
- D13% (3)
Community Discussion
No community discussion yet for this question.