Podcast
Questions and Answers
Which of the following is NOT a characteristic of money market instruments?
Which of the following is NOT a characteristic of money market instruments?
- Issued by creditworthy entities or backed by government guarantees
- Long-term maturity (correct)
- Fixed or floating interest rates
- High liquidity and low credit risk
What is the primary function of the money market?
What is the primary function of the money market?
- Long-term investing
- High-risk trading
- Price discovery and liquidity management (correct)
- Supporting government funding needs
Who are considered participants in the money market?
Who are considered participants in the money market?
- Central Banks, Corporations, and Money Market Mutual Funds (correct)
- Individual investors only
- Retail banks and insurance companies only
- Hedge funds and venture capitalists
What is the main role of the money market in the financial system?
What is the main role of the money market in the financial system?
In trading securities, what is the primary goal?
In trading securities, what is the primary goal?
Which instrument is NOT typically found in the money market?
Which instrument is NOT typically found in the money market?
What does put-call parity refer to in finance?
What does put-call parity refer to in finance?
Which entity would not typically participate in the money market?
Which entity would not typically participate in the money market?
'Support and resistance levels' are concepts most commonly associated with:
'Support and resistance levels' are concepts most commonly associated with:
What does 'limitation of market structure' primarily refer to?
What does 'limitation of market structure' primarily refer to?