Examveda

Political constancy is chief aspect concerning

A. exchange risk

B. systematic risk

C. non-systematic risk

D. country risk

Answer: Option D

Solution (By Examveda Team)

Political constancy is chief aspect concerning country risk. Country risk is the risk that a foreign government will default on its bonds or other financial commitments. Country risk also refers to the broader notion of the degree to which political and economic unrest affect the securities of issuers doing business in a particular country.

This Question Belongs to Management >> International Finance And Treasury

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