Why does a bond with a longer maturity have greater interest-rate risk than a bond with a
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Why does a bond with a longer maturity have greater interest-rate risk than a bond with a shorter maturity?
MaturityMaturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...
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Interestrate risk is the risk that the price of a fi...View the full answer
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Muhammad Salman Alvi
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Related Book For 
Money, Banking, and the Financial System
ISBN: 978-0134524061
3rd edition
Authors: R. Glenn Hubbard, Anthony Patrick O'Brien
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