In capital markets, instruments which are traded having maturity of more than one year is classified as
A. contraction mortgages
B. bonds and mortgages
C. expansion bonds
D. expansion mortgages
Answer: Option B
Solution (By Examveda Team)
In capital markets, instruments which are traded having maturity of more than one year is classified as bonds and mortgages. A mortgage bond is a bond secured by a mortgage or pool of mortgages. These bonds are typically backed by real estate holdings and real property such as equipment. In a default situation, mortgage bondholders have a claim to the underlying property and could sell it off to compensate for the default.Related Questions on International Finance and Treasury
A. The British Pound
B. The Japanese Yen
C. The Spanish Peso
D. The US Dollar
Not a profit maximizing business is
A. International Monetary Fund
B. International bank for Reconstruction and Development
C. International Financial Corporation
D. World Trade Organisation
Nations that have major economic expansion attract
A. Imports
B. Direct Foreign Investment
C. Exports
D. Privatization

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