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    Question

    Which of the following instruments is not a part of

    money market?
    A Commercial papers Correct Answer Incorrect Answer
    B T bills Correct Answer Incorrect Answer
    C Derivatives Correct Answer Incorrect Answer
    D Certificate of Deposits Correct Answer Incorrect Answer
    E All are part of Money market Correct Answer Incorrect Answer

    Solution

    A derivative is a financial instrument that derives its value from an underlying asset. Derivatives can be used for a variety of purposes, including managing risk, speculating on future price movements, and hedging against potential losses. Derivatives are not considered traditional money market instruments such as Treasury bills, commercial paper, and certificates of deposit, which are short-term, low-risk debt securities that are typically issued by governments, corporations, and financial institutions to raise funds.

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