What does a dealer need to consider when applying a temporary hold on an account? OA temporary hold allows for no transactions in the account to be permitted until the hold is removed. O Dealers apply temporary holds due to insufficient funds from a client's cheque deposits. O If a client believes a temporary hold led to trading losses, the dealer may face legal action. O Clients should not be told that there is a temporary hold on their accounts. Sachin owns units of a long-term bond fund. He has heard that the Bank of Canada is likely to make it more expensive to borrow money. He is worried that the value of his investment is going to drop. What sort of investing risk is Sachin experiencing? O inflation risk O interest rate risk market risk O liquidity risk

Economics Today and Tomorrow, Student Edition
1st Edition
ISBN:9780078747663
Author:McGraw-Hill
Publisher:McGraw-Hill
Chapter4: Going Into Debt
Section: Chapter Questions
Problem 29AA
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What does a dealer need to consider when applying a temporary hold on an account?
OA temporary hold allows for no transactions in the account to be permitted until the hold is removed.
O Dealers apply temporary holds due to insufficient funds from a client's cheque deposits.
O If a client believes a temporary hold led to trading losses, the dealer may face legal action.
O Clients should not be told that there is a temporary hold on their accounts.
Transcribed Image Text:What does a dealer need to consider when applying a temporary hold on an account? OA temporary hold allows for no transactions in the account to be permitted until the hold is removed. O Dealers apply temporary holds due to insufficient funds from a client's cheque deposits. O If a client believes a temporary hold led to trading losses, the dealer may face legal action. O Clients should not be told that there is a temporary hold on their accounts.
Sachin owns units of a long-term bond fund. He has heard that the Bank of Canada is likely to make it more expensive to borrow money.
He is worried that the value of his investment is going to drop. What sort of investing risk is Sachin experiencing?
O inflation risk
O interest rate risk
market risk
O liquidity risk
Transcribed Image Text:Sachin owns units of a long-term bond fund. He has heard that the Bank of Canada is likely to make it more expensive to borrow money. He is worried that the value of his investment is going to drop. What sort of investing risk is Sachin experiencing? O inflation risk O interest rate risk market risk O liquidity risk
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