Which of the following statement is not true:

Select one:

a.

Interest rate risks are caused by the mismatching of maturities amongst assets and liabilities

b.

The higher the asset pledge against a loan, the lower is its interest rate risk

c.

Compensation balance is a way a commercial bank uses to enhance its effective rate to its customers

d.

Market risk can be reduced if a FI cuts down on its short-term unhedged trading frequencies

e.

P&C insurance companies primary role is to help their customers to shift their risk to the insurance companies