The two components of credit risk are default probability and: A. Spread risk. B. Loss severity. C.

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The two components of credit risk are default probability and:

A. Spread risk.

B. Loss severity.

C. Market liquidity risk.

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Fixed Income Analysis

ISBN: 9781119850540

5th Edition

Authors: Barbara S. Petitt

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Question Posted: Nov 05, 2023 12:47 AM

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The two components of credit risk are default probability and: A. Spread risk. B. Loss severity. C.

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The correct answer is B Loss severity Explanation Credit risk consists of two main compone...View the full answer

Fixed Income Analysis

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