Suppose you buy a coupond bond with 5% yield. The maturity of this bond is 11 years, the modified duration of this bond
Posted: Thu May 05, 2022 8:29 am
Suppose you buy a coupond bond with 5% yield. The maturity of
this bond is 11 years, the modified duration of this bond is 8
years, and the Macaulay duration of this bond is 9 years. Interest
rates have increased after your purchase. If you want to earn a
return higher than 5%, when should you sell the bond?
in 7 years
in 8 years
in 10 years
in 9 years
this bond is 11 years, the modified duration of this bond is 8
years, and the Macaulay duration of this bond is 9 years. Interest
rates have increased after your purchase. If you want to earn a
return higher than 5%, when should you sell the bond?
in 7 years
in 8 years
in 10 years
in 9 years