17. Macrohedge: A financial institution has short-term or variable rate assets funded by long-term fixed rate liabilities A financial institution has fixed rate long-term assets funded by short-term or variable rate liabilities. a. What is the FI's interest rate exposure? Explain? b. What kind(s) of financial instruments can the FI use to hedge the interest rate risk? Specify the position to take (e.g., long/short, buy/sell)