Dmitri Ivanov is retiring soon, so he is concerned about his investments providing him steady income every year. He is aware that if interest rates , the potential earnings power of the cash flow from his investments will increase. In particular, he is concerned that a decline in interest rates might lead to annual income from his investments.
Dmitri Ivanov is retiring soon, so he is concerned about his investments providing him steady income every year. He is aware that if interest rates , the potential earnings power of the cash flow from his investments will increase. In particular, he is concerned that a decline in interest rates might lead to annual income from his investments. a) decrease, increase b) less, more
2. What kind of risk is Dmitri most concerned about protecting against?
Interest rate risk
Reinvestment rate risk
