tammycooks4845
Answered

Get reliable answers to your questions at Westonci.ca, where our knowledgeable community is always ready to help. Discover the answers you need from a community of experts ready to help you with their knowledge and experience in various fields. Discover in-depth answers to your questions from a wide network of professionals on our user-friendly Q&A platform.

Read the following and answer the question:

Which type of investments might suffer due to interest rate risks and why?

Type your response below:

Sagot :

GinnyAnswer

Final answer:

Bonds are investments that could be negatively affected by interest rate risks when rates rise.


Explanation:

Investments that might suffer due to interest rate risks are bonds. When interest rates rise, the market value of existing bonds decreases, causing bond prices to fall. This is because newly issued bonds offer higher yields due to the increased interest rates, making existing lower-yielding bonds less attractive to investors.


Learn more about Interest rate risks and investments here:

https://brainly.com/question/39046993


We appreciate your visit. Hopefully, the answers you found were beneficial. Don't hesitate to come back for more information. Thank you for your visit. We're dedicated to helping you find the information you need, whenever you need it. Thank you for choosing Westonci.ca as your information source. We look forward to your next visit.