Assignment:
1. During the financial crisis and afterwards gold prices skyrocketed. Discuss why gold prices changed. Is gold always a good investment in uncertain times? Why has gold's performance changed now? Is it possible that Bitcoin will replace the function of gold in the future? Discuss.
2. Explain all the following risk types and make an example about each of these cases. Please also provide a detail explanation how these types of risks may interact with each other under certain circumstance.
a. credit risk
b. interest rate risk
c. foreign exchange risk
d. country or sovereign ris
1. During the financial crisis and afterwards gold prices skyrocketed. Discuss why gold prices changed. Is gold always a good investment in uncertain times? Why has gold's performance changed now? Is it possible that Bitcoin will replace the function of gold in the future? Discuss.
2. Explain all the following risk types and make an example about each of these cases. Please also provide a detail explanation how these types of risks may interact with each other under certain circumstance.
a. credit risk
b. interest rate risk
c. foreign exchange risk
d. country or sovereign risk
e. technology risk
f. market risk
g. liquidity risk
e. technology risk
f. market risk
g. liquidity risk