AFP
CTP · Question #817
(Topic 9) The risk that one financial institution's failure could lead to the failure of other financial institutions is known as:
The correct answer is B. systemic risk. See the full explanation below for the reasoning.
Question
- (Topic 9)
The risk that one financial institution’s failure could lead to the failure of other financial institutions is known as:
Options
- Asettlement risk.
- Bsystemic risk.
- Ccredit risk.
- Dfraud risk.
How the community answered
(17 responses)- A6% (1)
- B71% (12)
- C6% (1)
- D18% (3)
Community Discussion
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