n NISM Certifications
XIII NISM Series XIII
Medium

The term 'Liquidity Risk' in derivatives markets refers to:

Practice question from NISM Series XIII for SIF - Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. The risk of not being able to buy or sell quickly without impacting the price

    Correct answer

  2. B

    The risk of losing money due to market movements

  3. C

    The risk of default by the counterparty

  4. D

    The risk of interest rate fluctuations

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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