Which of the following is NOT true? swaps (CDS) and collateralized debt obligations (CDO), later identified as two instruments that played a major role in the market failure of 2008. The Dodd Frank Act bans risky proprietary trading activities Under the Dodd Frank Act, a large financial institution can hold lower capital reserves because it has better reputation than a small financial institution. Under the Dodd Frank Act, a central bank will not tolerate TBTF and will fail large banks in a future crisis. The Dodd Frank Act provides finance customers protection.
Which of the following is NOT true? swaps (CDS) and collateralized debt obligations (CDO), later identified as two instruments that played a major role in the market failure of 2008. The Dodd Frank Act bans risky proprietary trading activities Under the Dodd Frank Act, a large financial institution can hold lower capital reserves because it has better reputation than a small financial institution. Under the Dodd Frank Act, a central bank will not tolerate TBTF and will fail large banks in a future crisis. The Dodd Frank Act provides finance customers protection.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
Which of the following is NOT true?
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swaps (CDS) and collateralized debt obligations (CDO), later identified as two instruments that played a major role in the market failure of 2008.
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The Dodd Frank Act bans risky proprietary trading activities
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Under the Dodd Frank Act, a large financial institution can hold lower capital reserves because it has better reputation than a small financial institution.
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Under the Dodd Frank Act, a central bank will not tolerate TBTF and will fail large banks in a future crisis.
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The Dodd Frank Act provides finance customers protection. |
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