Question

What factors should the choice of a Fixed Income Instrument depend on?

a.

Only market trends

b.

Only risk appetite

c.

Risk appetite, Liquidity needs, Investment horizon, and Tax considerations

d.

Ignoring risk and focusing on returns

Answer: (c).Risk appetite, Liquidity needs, Investment horizon, and Tax considerations Explanation:The choice of a Fixed Income Instrument should depend on risk appetite, liquidity needs, investment horizon, and tax considerations.

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Q. What factors should the choice of a Fixed Income Instrument depend on?

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