Knowledge Base

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Questions

Which prudential ratio requires banks to withstand a 30-day liquidity crisis?

Net Stable Funding Ratio (NSFR)
Liquidity Coverage Ratio (LCR)
Common Equity Tier 1 (CET1)
Leverage Ratio

Which instrument is primarily used by the French State to adjust its short-term cash position?

Government bonds (OAT)
Fixed-rate Treasury bills (BTF)
Certificates of Deposit
Commercial Paper

What is the minimum issuance duration for NEU CPs?

One day
One week
One month
Six months

What are the three ECB key interest rates used to steer the money market?

Main refinancing rate, deposit facility rate, marginal lending facility rate
EONIA rate, EURIBOR rate, euro short-term rate
LIBOR rate, SOFR rate, TIER rate
Exchange rate, inflation rate, growth rate

Money market UCITS must maintain a liquidity buffer of 7.5% in daily maturing assets.

True
False

Main refinancing operations (MRO) are conducted monthly by the ECB.

True
False

Categorize items by dragging them to the appropriate zones

Items to categorize:

Fixed-rate Treasury bills (BTF)
Money market UCITS
Main refinancing rate
European Short-Term Notes (NEU CP)
Categories:

Financing

Investment

Monetary policy transmission

Definition of the euro short-term rate

Click to see answer