Question
Floating-rate bonds are designed to minimise which of
the following risks?Solution
Floating Rate Bonds (FRBs) are bonds that have a variable coupon, equal to a money market reference rate (like MIBOR or LIBOR) plus a quoted spread (i.e., quoted margin). · Floating rate bonds allow the investor to earn a rate of interest income tied to current interest rates. As such, FRBs carry little interest rate risk. · Its price shows very low sensitivity to changes in market interest rates. When market rates rise, the expected coupons of the FRB increase in line with the increase in forward rates, which means its price remains constant. Thus, FRBs differ from fixed rate bonds, whose prices decline when market rates rise. As FRBs are very less sensitive to interest rate risk, they are considered conservative investments for investors who believe market rates will increase.
From the given alternatives select the word which cannot be formed using the letters once of the given word
SECULARIZATION
...Given below is a common English word in its jumbled form. Find the word and based on that, answer what is it ?
OPTTAO
Which can be formed by using the letters of the given word.
GENERALIZATION
In the following question, select the word which can be formed using the letters of the given word.
TEMPERATURE
Find which one word cannot be formed from the given letters of the word.
‘ NAUGHTINESS ’
...Read the given statements and conclusions carefully. Assuming that the information given in the statements is true, even if it appears to be at varianc...
Which among the following words cannot be formed using the letters of the given word only once?
CONFIRMATION  In the word ‘SYSTEMATIC’, first all the letters are written in an alphabetical order form, then remove all the vowels from the arrangement then ...
Statement: F ≤ G; F ≤ I; G = Q; I < T
Conclusion:
I. T ≤ G
II. Q ≥ T
Find which one of the given words cannot be made from the letters of the given word ‘ GRAVEYARD ’.
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