Which of the following risk(s) is/are Floating-rate bonds designed to minimise?
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.
At least ______ of the carbon dioxide fixation on earth is carried out by algae through photosynthesis.
Which of the following statements about 46th United States President Joe Biden is/are correct?
1. He was one of the youngest senato...
An allocation of Rs 60,000 crore has been made to cover __ households in 2022-23 under Har Ghar, Nal Se Jal Scheme, informed the Ministry of Finance?
Which of the following players did not receive the Arjuna Award 2023?
Which among the following States has seen a steady increase every year from 2017-18 to 2020-21 in the overall scores of the Performance Grading Index (P...
Which of the following companies is the second largest company in terms of market capitalization?
Find the next number in the given series:
13, 40, 122, 369, __?
Which of the following Committee in the late 1990s recommended consolidation through a process of merging strong banks?
Which organization announced the reduction of the Initial Public Offer listing timeline from T+6 days to T+3 days, effective from December 2023?
In which year was the first Economic Census carried out in India?