Question

In: Finance

For the purposes for which they are used, money market securities should have which of the...

For the purposes for which they are used, money market securities should have which of the following characteristics?I. Low trading costsII. Little price riskIII. High rate of returnIV. Life greater than one year

a.

I, II, and III

b.

II and IV

c.

I and III

d.

III and IV

e.

I and II

Solutions

Expert Solution

Answer :

Option :e. I and II

Money market securities characteristics are :

Low risk costs

Little price risk


Related Solutions

which of these is NOT a feature of money market securities A. Maturity period of 10...
which of these is NOT a feature of money market securities A. Maturity period of 10 to 30 years B. Very Liquid C. Easier to participate in compared to Option Trading D. Relatively risk-free compared to stocks and bonds
which one is not market securities a) capital market b) primary market c) money market d)...
which one is not market securities a) capital market b) primary market c) money market d) secondary market e) dow jones
a. Explain why money market securities are liquid assets while capital market securities are not.
1. Please explain, in detail, the following concepts: a. Explain why money market securities are liquid assets while capital market securities are not. b. How does financial intermediation affect the cost of conducting financial transactions? c. What are three ways finance professionals use duration analysis? d. What is Milton Friedman’s critique of the standard textbook analysis of the effect of Federal Reserve policy?  
issuers of money market securities ( short answer )
issuers of money market securities ( short answer )
Discuss money markets. Money market securities are debt offerings with a maturity of one year or...
Discuss money markets. Money market securities are debt offerings with a maturity of one year or less. They are very liquid and can be sold in a secondary market. Discuss the contents of the most popular money market securities and whether money market securities can be justified by scripture.
Indicate whether the following instruments are examples of money market or capital market securities: a. U.S....
Indicate whether the following instruments are examples of money market or capital market securities: a. U.S. Treasury Bills b. Long - Term corporate bonds c. Common stocks d. Preferred stocks e. Dealer Commercial Paper
Indicate whether the following instruments are examples of money market or capital market securities U.S. Treasury...
Indicate whether the following instruments are examples of money market or capital market securities U.S. Treasury bills Long-term corporate bonds Common stocks Preferred stocks Dealer commercial paper In two sentences identify and briefly compare the two leading stock exchanges in the United States today
1. We have the money market and capital market. Between the two which one will you...
1. We have the money market and capital market. Between the two which one will you advice an investor to trade on when the economy is at recession and why. 2.Currently we are receiving messages from central bank of Kenya on their securities on sale. Briefly explain the stages your parent would undertake to have a complete purchase of treasury bills. (10 mks)
What are the different types of derivative securities and how are they used in the market?
What are the different types of derivative securities and how are they used in the market?
Present 3 different types of money market securities with their main characteristics and assess what are...
Present 3 different types of money market securities with their main characteristics and assess what are the major risks associated with holding them?
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT