Which of the following observations on the risks of spread-based fixed-income portfolios is the most accurate?

A. Because credit spreads equal the product of the LGD and the POD, distinguishing between the credit risk and liquidity risk components of yield spread across all market scenarios is straightforward.

B. Given that frequent issuers with many bonds outstanding across maturities have their own issuer-specific credit curve, distinguishing between the credit spread and liquidity spread of all bonds for these issuers is straightforward.

C. The yield spread of a particular bond comprises both credit and liquidity risk and depends on market conditions and the specific supply-and-demand dynamics of each fixed-income security.