Question: 3) A different pension plan calculates a 16-year duration for its expected future obligations. It also calculates that its obligations have a convexity of 29.

3) A different pension plan calculates a 16-year duration for its

expected future obligations. It also calculates that its obligations have a convexity

3) A different pension plan calculates a 16-year duration for its expected future obligations. It also calculates that its obligations have a convexity of 29. You were hired by this pension plan and you want to utilize an immunization strategy for its obligations, which exclusively involves three bonds: E, F and G. You calculated the following information for the three bonds: Bond Duration Convexity 9.00 29.00 w LL O 21.00 35.00 28.00 56.00 Use both duration and convexity in your immunization strategy, to determine the weights of investment in each of the three bonds

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