1.why does the reinvestment rate affect the annual rate of return for the same bond?2.if the expected rate of return on our bonds is 10%,what is the duration of bond? 扫码下载作业帮拍照答疑一拍即得 答案解析 查看更多优质解析 举报 1 为什么再投资率会影响债券的年回报率?2 如果债券的年回报...
A five-year bond with a yield of 11% (continuously compounded) pays an 8% coupon at the end of each year. What is the bond's duration?() A.3.982 B.4.536 C.4.256 点击查看答案 你可能感兴趣的试题 问答题 Fill in the blank For the expressionf(t)=tε(t)+2ε(t−2)−tε(t...
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解析 A The duration of a floating rate bond is equal to the time until the next coupon payment takes place. As the coupon rate changes semi-annually with the level of the interest rate, a floating rate bond has the same duration
The duration of a floating rate bond is equal to the time until the next coupon payment takes place. As the coupon rate changes semi-annually with the level of the interest rate, a floating rate bond has the same duration as a pure discount bond with time to maturity equal to the time...
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Including bonds in an investment portfolio provides the investorperiodic interest revenue for the length of the bond. The interest revenue is based on the bond’s interest rate and principal amount invested. For the duration of the bond, the bond’s interest rate does not change, so you know...
As nouns the difference between bond and tenor is that bond is a peasant; churl or bond can be (legal) evidence of a long-term debt, by which the bond issuer (the borrower) is obliged to pay interest when due, and repay the principal at maturity, as spec
What is meant by the Duration of a Bond - The duration of a bond is its weighted average of times of cash flow. The calculation of duration provides importance to cash flows and their timing. The weight is calculated for the present value of cash flow to
corporations and by governments. It serves as an IOU between the issuer and an investor. An investor loans a sum of money in return for the promise of repayment at the specified maturity date. Usually, the investor also receives periodic interest payments over the duration of the bond's term...