Consider the following prices for bonds (with face value 100): Portfolio Maturity (years) 1 A Coupon rate 5% 5% 0% Yield
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Consider the following prices for bonds (with face value 100): Portfolio Maturity (years) 1 A Coupon rate 5% 5% 0% Yield
Consider the following prices for bonds (with face value 100): Portfolio Maturity (years) 1 A Coupon rate 5% 5% 0% Yield-to-maturity 4.5% 5.0% 5.5% 2 B С Nm 3 Coupons are paid annually. What is the modified duration of a bond portfolio with 30% a invested in Bond B, and 70% invested in Bond C?
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