Which one of the following would be considered a risk-free asset in real terms as opposed to nominal?

Which one of the following would be considered a risk-free asset in real terms as opposed to nominal? 



A. Money market fund

B. U.S. T-bill

C. Short-term corporate bonds

D. U.S. T-bill whose return was indexed to inflation


Answer: D. US T-bill whose return was indexed to inflation


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