1. Many factors determine the interest rate for a given situation. Discuss the various determinants of interest rates. What are the primary determinants of today’s corporate interest rates? What factors might cause today’s rates to change significantly? What is your outlook on the future of interest rates?
2. Discuss the various types of risks that undermine potential investments and the potential impact on desired returns. As business leaders and managers, how can we best optimize the risk-return tradeoff?