- CFA Exams
- CFA Level I Exam
- Topic 6. Fixed Income
- Learning Module 30. Valuation and Analysis of Bonds with Embedded Options
- Subject 7. Valuation and Analysis of Capped and Floored Floating-Rate Bonds
CFA Practice Question
A capped floater protects the ______ against ______ interest rates.
B. investor; falling
C. issuer; falling
A. issuer; rising
B. investor; falling
C. issuer; falling
Correct Answer: A
It is an issuer option.
User Contributed Comments 0
You need to log in first to add your comment.