nerdexam
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)
  • A
    6% (1)
  • B
    71% (12)
  • C
    6% (1)
  • D
    18% (3)

Community Discussion

No community discussion yet for this question.

Full CTP Practice