easy · FRM Part 2 Liquidity & Treasury Risk
Formula-and-meaning check before application in Liquidity & Treasury Risk.
Within Liquidity & Treasury — Liquidity Risk Principles, which statement correctly describes Funding liquidity risk?
- risk that a position cannot be sold quickly near its fair value
- risk that obligations cannot be met when due without unacceptable loss
- stock of unencumbered liquid assets available to meet stress outflows
- excessive reliance on one provider, instrument, or maturity bucket
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