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My bank has a larger number of adjustable-rate mortgage loans outstanding. To protect our interest rate income on these loans, the bank could I. enter
My bank has a larger number of adjustable-rate mortgage loans outstanding. To protect our interest rate income on these loans, the bank could
- I. enter into a swap to pay fixed and receive variable.
- II. enter into a swap to pay variable and receive fixed.
- III. buy an interest rate floor.
- IV. buy an interest rate cap.
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