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Q:

CBLO, a money market instrument that represents an obligation between a borrower and a lender as to the terms and conditions of a loan. What does 'C' stand for in CBLO?

A) Clearing B) Culminative
C) Collateralized D) Credit

Answer:   C) Collateralized



Explanation:

CBLO stands for Collateralized Borrowing and Lending Obligation. CBLO is a money market instrument that represents an obligation between a borrower and a lender as to the
terms and conditions of a loan. So, C stands for Collateralized.

Subject: General Awareness
Exam Prep: Bank Exams
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