Economics · Banking and Finance
With reference to Perpetual Bonds, consider the following statements: 1. They are debt instruments with no fixed maturity period. 2. Banks issue them to strengthen their Tier-I capital under Basel III norms. 3. They usually carry lower returns but higher safety than government securities. Which of the above statements are correct?
- 11, 2 and 3
- 21 and 3 only
- 32 and 3 only
- 41 and 2 only✓
Correct answer
1 and 2 only
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