In comparison to securities issued by the U.S. Treasury, securities issued by U.S. government agencies like the Federal Land Bank
A) are significantly riskier than Treasury securities.
B) are much less liquid than Treasury securities.
C) yield slightly more than Treasury securities.
D) usually require the payment of higher commissions when purchased than Treasury securities.

Question

Quizplus · Accepted Answer

Securities issued by U.S. government agencies like the Federal Land Bank are generally considered to be slightly more risky than Treasury securities, but they still carry a low risk compared to other types of investments. Because of this slightly higher risk, they typically yield slightly more than Treasury securities. However, they are still relatively liquid and do not usually require higher commissions to purchase.

In Comparison to Securities Issued by the U