CFA Practice Question

There are 490 practice questions for this study session.

CFA Practice Question

A syndicated loan is a loan from ______ to ______.

A. a group of lenders; a single borrower
B. a group of lenders; a group of borrowers
C. a single lender; a group of borrowers
Correct Answer: A

The group of lenders is called a syndicate. The borrower could be a corporation, a government, etc. The main goal of syndicated lending is to spread the risk of a borrower default across multiple lenders.

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