Question
You work for the treasury department of a medium sized bank. You are concerned about liquidity risk since there is increased volatility in the market.
You work for the treasury department of a medium sized bank.
You are concerned about liquidity risk since there is increased volatility in the market. Would you prefer to fund a 6-month corporate loan using a 180-day CD or via demand deposits? Why?
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Financial Markets And Institutions
Authors: Frederic S. Mishkin, Stanley G. Eakins
7th Edition
013213683X, 978-0132136839
