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One Characteristic That Distinguishes Holding Period Return from the Coupon

Question 60

Multiple Choice

One characteristic that distinguishes holding period return from the coupon rate, the current yield, and the yield to maturity is:


A) all of the other returns can be calculated at the time the bond is purchased, but holding period return cannot.
B) holding period return will always be the highest return.
C) holding period return will usually be less than the other returns.
D) only the holding period return includes the capital gain/loss.

Correct Answer:

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