Derivatives allow firms to arbitrarily divide up and rename risks and future payments, rendering their actual names

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Derivatives allow firms to arbitrarily divide up and rename risks and future payments, rendering their actual names irrelevant.

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Money Banking And Financial Markets

ISBN: 9781260226782

6th Edition

Authors: Stephen Cecchetti, Kermit Schoenholtz

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Question Posted: Mar 21, 2024 02:01 AM

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Derivatives allow firms to arbitrarily divide up and rename risks and future payments, rendering their actual names

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While derivatives can be used to manage and transfer risks it is not accurate to say that they allow firms to arbitrarily divide up and rename risks a...View the full answer

Money Banking And Financial Markets

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