SIE practice questioneasyTreasury Securities - STRIPS
Which U.S. Treasury security represents the principal or interest components of a Treasury bond separated for individual resale?
- ASTRIPS✓ Correct answer
- BTIPS
- CT-bill
- DAgency bond
Explanation
Why A — STRIPS
STRIPS are separate trading of registered interest and principal securities. TIPS are inflation-protected, T-bills are short-term, and agency bonds are not Treasury securities.
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