Current Affairs

GK MCQs Section
Q. With reference to investments by banks, consider the following statements:
  1. SLR investments are sovereign protected while non-SLR investments are not.
  2. SLR investments are not risk-free while non-SLR investments are risk-free.
Which of the statements given above is/are correct?
Answer: Only 1
Notes: SLR investments are held in government-approved securities, primarily government bonds, and thus are considered sovereign protected and virtually risk-free. Non-SLR investments, such as corporate bonds or equities, carry varying risks and are not sovereign protected. Statement 2 is incorrect as SLR investments are risk-free, not non-SLR investments.
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