Question
Which of the following lowers the interest rate risk by
neutralizing the inflation risk?Solution
Capital indexed bonds are a type of government security that are designed to help investors protect against inflation risk. These bonds are long-term debt instruments with interest rates that are indexed to inflation, which means that the interest rate adjusts automatically based on changes in the inflation rate. By linking the interest rate to inflation, capital indexed bonds help to neutralize inflation risk for investors. This means that if the inflation rate increases, the interest rate on the bond will also increase, helping to protect the investor's purchasing power.
- What is the smallest number that must be added to 1500 so that it becomes exactly divisible by 47?
A positive number becomes 9 times its reciprocal when 3 is added to it. Find this number.
The square of 12 is subtracted from 25 times a whole number, and the result is equal to the square of that number. Find the square of the difference bet...
3 chairs and 2 tables cost Rs. 700 and 5 chairs and 3 tables cost Rs. 1100. What is the cost of 1 chair and 2 tables?
The arithmetic mean of two values ‘a’ and ‘b’ is 16, and their geometric mean is 10√2. Find the positive difference between the numbers, given...
When a number is increased by 30% then the number obtained is 34 less than thrice the original number. Find the original number.
When a number is increased by 8, it becomes 120% of itself. The number is:
4 14 44 124 404
...If '176x95' is a six-digit number that is divisible by 3, then find the maximum value of '5x'.
A number leaves a remainder of 12 when divided by 19. What will be the remainder when three times that number is divided by 19?
Relevant for Exams:
