- CFA Exams
- CFA Level I Exam
- Topic 6. Fixed Income
- Learning Module 3. Fixed-Income Issuance and Trading
- Subject 3. Primary and Secondary Fixed-Income Markets
CFA Practice Question
When a company sells an entire issue of securities to a small group of institutional investors (such as life insurance companies, pension funds etc.), it is called a (an) ______.
B. unseasoned issue
C. private placement
A. rights offering
B. unseasoned issue
C. private placement
Correct Answer: C
User Contributed Comments 7
| User | Comment |
|---|---|
| saltnvinegar | what is an Unseasoned Issue???? |
| Bududeen | an unseasoned issue is the opposite of seasoned issue i.e IPO |
| Bududeen | an issue for which there is no existing market. or as issue that has never been traded before in the open market. |
| johntan1979 | Unseasoned = without salt and vinegar |
| Omosewa | lol |
| Shaan23 | Johntan thats not correct. Unseasoned means you must be without salt, pepper or any other spice. Although your answer is correct mine encompasses yours but not vice versa. |
| Inaganti6 | Ok Shaan ok |