Series 7 Exam Question 109: Answer and Explanation

Question: 109

Which of the following are systematic risks?

I. Currency risk

II. Purchasing power risk

III. Reinvestment risk

  • A. I and II
  • B. I and III
  • C. II and III
  • D. I, II, and III

Correct Answer: A

Explanation:

A. Both currency risk and purchasing power risk are systematic risks while reinvestment risk is a non-systematic risk.

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