An investor believes that a bond may temporarily increase in credit risk. Which of the following would be the most liquid method of exploiting this? A) The sale of a credit default swap. B) The purchase of a credit default swap. C) The short sale of the bond. D) The purchase of a plain vanilla interest rate swap.
B
b…
B.
b
Right answer - you must use qbank!
it’s b. fell for c though too…