9. It is common for new IPOs to have a big positive first day of trading, but also weaker medium term stock performance. a. TRUE b. FALSE

1. What is the major difference between unsecured debt and secured debt?
   1. Secured debt is guaranteed a risk-free rate of return
   2. Unsecured debt is always backed by collateral
   3. Secured debt has first claim to collateral in bankruptcy
   4. All of the above
2. Asset securitization and creation of complicated investment vehicles was a major driver to the 2008 Financial Crisis
   1. TRUE
   2. FALSE

1. In general, private capital investing is more volatile than fixed income or public equity investing. There is a larger distribution of possible returns.
   1. TRUE
   2. FALSE