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Basic Question 4 of 6
Which criterion influences which country's interest rates affect a bond's price?
B. Type of issuers
C. Currency denomination of the bond's cash flows
A. Credit quality
B. Type of issuers
C. Currency denomination of the bond's cash flows
User Contributed Comments 2
| User | Comment |
|---|---|
| philerup | What kind of horrible grammar is being used in this question? Can't understand it. |
| myronw | It's from the textbook. Quote: One of the critical ways to distinguish among fixed-income securities is by currency denomination. The currency denomination of the bond's cash flows influences which country's interest rates affect a bond's price. For example, if a bond is denominated in yen, its price will be primarily driven by the credit quality of the issuer and by Japanese interest rates. |
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Learning Outcome Statements
describe fixed-income market segments and their issuer and investor participants
CFA® 2025 Level I Curriculum, Volume 4, Module 3.