If the 10-year Treasury bond rate is 9.0%, the inflation premium is 2.0% and maturity risk premium
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If the 10-year Treasury bond rate is 9.0%, the inflation premium is 2.0% and maturity risk premium on 10-year bond is .3%:
- Why would an investor purchase a treasury bond, versus a technical corporate stock like Apple or Netflix? Please advise in detail.
- If an investment has a high standard deviation, what does this tell the investor?
- How does inflation affect interest rates on bonds and other types of debt securities? Please advise.
Related Book For
Foundations of Finance The Logic and Practice of Financial Management
ISBN: 978-0132994873
8th edition
Authors: Arthur J. Keown, John D. Martin, J. William Petty
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