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Name 6 different sources of funds for banks (from right hand side of balance sheet; only 3 may be deposits). Define what they are. What

  1. Name 6 different sources of funds for banks (from right hand side of balance sheet; only 3 may be deposits). Define what they are.

  2. What are the two most useful derivatives for helping a bank reduce interest rate risk on its balance sheet and income statement? Which is most useful to hedge reinvestment risk and which is best to hedge price risk?

  3. Name two different types of consumer loans. Where would these fall on the risk spectrum (more or less risky) versus a qualifying mortgage loan and why?

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