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5. a) Describe the investment characteristics of government issued index-linked bonds, discussing elements such as the structure of the investment, its security, marketability and return.

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5. a) Describe the investment characteristics of government issued index-linked bonds, discussing elements such as the structure of the investment, its security, marketability and return. [5 marks] b) Briefly note how your answer to part a) would differ if the bond were issued by a domestic commercial firm rather than a government. [3 marks) c) Briefly note how your answer to part c) would differ if the bond were issued instead by a foreign commercial firm. [2 marks] [Total: 10 marks]

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