Question
Which of the following risk can reduce the value of a
bond or other fixed rate investments?Solution
Interest rate risk is the risk that the financial value of assets or liabilities (or inflows/outflows) will be altered because of fluctuations in interest rates. For example, the risk that future investment may have to be made at lower rates and future borrowings at higher rates. In case of bonds, the value of the bonds can reduce due to increase in interest rates as the price of bond and interest rates are inversely related.
The Global Gender Gap Report is published by:
The main objective of the 8th Future Investment Initiative (FII) in Riyadh, where Union Minister Piyush Goyal will participate, is to:
In FY23, India's net household financial savings declined to what percentage of the Gross Domestic Product (GDP)?
What is the central theme of the Hindi film "IRAH"?
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At least 6 journalists were killed and 121 media houses were targeted in India in 2021, according to an India Press Freedom Report 2021. This report was...
What was the inflation rate for food and beverages in India in August 2024?
Which of the following is known as the Rain forests of the oceans?
Which country is going to host Chess Olympiad 2026?
Which organization has launched the Talent Connect portal to bridge the gap between recruiters and digitally skilled and certified candidates & to conne...
