easy · Frm Part 2 Liquidity & Treasury Risk

What does a 'negative net cumulative position' represent at a specific time during the day?

  1. The bank has exceeded its daily maximum allowed settlement volume
  2. The bank is insolvent because its liabilities exceed its assets
  3. The bank's incoming payments have been blocked by the central bank
  4. The bank has sent more value in payments than it has received since the start of the day

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