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Money market securities are considered to be a safer investment alternative security compared to capital market investment. Explain this statement. (4 marks) Provide THREE (3)

  1. Money market securities are considered to be a safer investment alternative security compared to capital market investment. Explain this statement.

(4 marks)

  1. Provide THREE (3) examples of money market and capital market.

(6 marks)

  1. Rating agency plays important roles in ratings bonds and commercial notes.

  1. Explain the meaning of AAA Securities.
  2. How does the rating given help to attract potential investors?
  3. How does it affect the price of securities?

(4 marks)

  1. Foreign exchange is an agreement between buyer and seller where a fixed amount of one currency will be delivered for some other currency at a specific rate.

Discuss THREE (3) functions of the foreign exchange market.

(6 marks)

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