The recovery rate on credit instruments is defined as one minus the loss rate. The loss rate can be significantly influenced by the volatility of the value of a firm's assets before default. All other things being equal, in the event of a default, which type of company would we expect to have the highest recovery rate?
A. A trading company active in volatile markets
B. An Internet merchant of trendy consumer products
C. An asset-intensive manufacturing company
D. A highly leveraged hedge fund