b6d83f54_l_Review_Flashcards___Cram_com___using_dividend_growth_model__
B is correct.
Interest rate swaps: A- involve investors swapping fixed-rate securities for floating-rate securities. B- involve investors trading interest payments or cash flows from different securities without actually trading the securities directly. C- involve investors swapping interest rate futures for interest rate options to reduce interest rate risk. D- can do nothing to help reduce interest rate risk but are effective in reducing default risk.
Final Review Flashcards - Cram.com