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CTP · Question #58

(Topic 1) Company XYZ is not sure which direction interest rates are headed. Which of the following would be MOST suitable?

The correct answer is D. An interest rate collar. See the full explanation below for the reasoning.

Question

  • (Topic 1)

Company XYZ is not sure which direction interest rates are headed. Which of the following would be MOST suitable?

Options

  • AAn interest rate cap
  • BAn interest rate floor
  • CAn interest rate swap
  • DAn interest rate collar

How the community answered

(53 responses)
  • A
    4% (2)
  • B
    17% (9)
  • C
    8% (4)
  • D
    72% (38)

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