Which one of the following statements is NOT true?

Select one:

A. The risk that the lender may not receive payments as promised is called default risk.

B. Investors must pay a premium (a higher price) to purchase a security that exposes them to default risk.

C. Australian government securities are assumed not have any default risk and are adopted as the best proxy measure for the risk-free rate.

D. The greater the risk of an investment, the greater the return that investors require.