Why should I choose AnalystNotes?
AnalystNotes specializes in helping candidates pass. Period.
Basic Question 2 of 4
If we observe an increasing default probability but decreasing benchmark rate over longer maturity periods, we will likely see a ______ credit spread curve.
B. flat
C. downward-sloping
D. uncertain
A. upward-sloping
B. flat
C. downward-sloping
D. uncertain
User Contributed Comments 0
You need to log in first to add your comment.
I am happy to say that I passed! Your study notes certainly helped prepare me for what was the most difficult exam I had ever taken.
Andrea Schildbach
Learning Outcome Statements
explain the determinants of the term structure of credit spreads and interpret a term structure of credit spreads;
CFA® 2025 Level II Curriculum, Volume 4, Module 29.