Suppose you have a portfolio of three 20-year bonds with coupon rates of 3%, 5%, and 8%.

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Suppose you have a portfolio of three 20-year bonds with coupon rates of 3%, 5%, and 8%. The current YTM is 4%. What is the duration of the portfolio?

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Finance Applications and Theory

ISBN: 978-1259691416

4th edition

Authors: Marcia Cornett

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Posted Date: May 04, 2023 06:23 AM

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Suppose you have a portfolio of three 20-year bonds with coupon rates of 3%, 5%, and 8%.

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SOLUTION To calculate the duration of a portfolio of bonds we need to first calculate the individual ... View the full answer

Finance Applications and Theory

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