Question
Which of the following are not the Money market
instruments?Solution
AsĀ moneyĀ became aĀ commodity, theĀ money market Ā became a component of theĀ financial marketsĀ for assets involved in short-termĀ borrowing,Ā lending, buying and selling with original maturities of one year or less. Trading in money markets is doneĀ over the counterĀ and isĀ wholesale. There are several money market instruments, includingĀ treasury bills,Ā commercial paper,Ā bankers' acceptances,Ā deposits,Ā certificates of deposit,Ā bills of exchange,Ā repurchase agreements, federal funds, and short-livedĀ mortgage-Ā andĀ asset-backed securities. The instruments bear differing maturities, currencies, credit risks, and structure and thus may be used to distribute exposure.
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