Question: A level - coupon bond has a yield - to - maturity of 1 0 % . In order for an investor to be assured

A level-coupon bond has a yield -to-maturity of 10%.In order for an investor to be assured an average annual yield of 10% on his investment in the bond, which of the following is NOT necessary?
The investor must hold the bond until it matures.
The issuer must not default or be late with its payments
The investor must reinvest all the coupon payments he receives at 10%.
All of the above are necessary to insure the investor earns an average annual return
of 10% on this investment.

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