Convexity is the idea that the rate of change of an asset's price varies with the change in interest rates depending on the prevailing interest rates.

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Convexity is a well-known concept in finance that describes the curvature of the relationship between an asset's price and interest rates. It is generally understood that the rate of change of an asset's price varies with changes in interest rates, and the degree to which this occurs is reflected in the asset's convexity. Therefore, the statement is true.

Convexity Is the Idea That the Rate of Change of an Asset's