Solved

Which Combination of Bond Characteristics Causes a Bond to Be

Question 40

Multiple Choice

Which combination of bond characteristics causes a bond to be most sensitive to changes in market interest rates?
I. low coupon rates
II. high coupon rates
III. short time to maturity
IV. long time to maturity


A) III only
B) I and III only
C) I and IV only
D) II and III only
E) II and IV only

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents