The type of risk to banks that can be described as a mismatch between – InterviewSolution

1.	The type of risk to banks that can be described as a mismatch between assets and liabilities is1). Operational risk2). Systematic risk3). Liquidity risk4). Market risk
Answer» Liquidity refers to BANKS’ ability to fulfil their payment obligations. Liquidity risk arises due to inability of banks to MEET their obligations when any asset MAY not be realized into cash. It can effectively be described as a MISMATCH between banks’ assets and liabilities.

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