A fixed income portfolio manager asks you to analyze a 6-year AA-rated corporate bond with a 5% coupon rate that is trading for $1,025.92. According to Bloomberg, the bond\'s yield to maturity (YTM) is 4.75% and its annual duration is 5.3 years. What is the bond\'s convexity?

Answer rating: 100% (QA)

let x be the face value of the bond 005xPVAF4756 xPVIF4756102592 02558x 075... View the full answer