Which of the following statements regarding counterparty credit risk are correct?
Ⅰ.Expected positive exposure is the highest expected exposure over a specified interval.
Ⅱ.Wrong-way exposures are positively correlated with the counterparty’s credit quality.
Ⅲ.Credit triggers are early settlement agreements that require counterparties to settle and terminate trades if the credit rating of a party falls below a specified level.
Ⅳ.Right-way exposures are negatively correlated with the counterparty’s credit quality.
Ⅴ.Cross-product netting is a provision that allows counterparties to net payments across different products.
Ⅵ.Collateral agreements require that specified amounts of liabilities be transferred to counterparty if exposures exceed a specified threshold.
AIII and V only.
BI, III, and V.
CI, II, and IV.
DIII, V, and VI.
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