Question: An increase in interest rate volatility: Question options: increases the value of bonds with embedded put options. increases the value of low-coupon bonds with embedded

An increase in interest rate volatility:

Question options:

increases the value of bonds with embedded put options.

increases the value of low-coupon bonds with embedded options, but decreases the value of high-coupon bonds with embedded options.

increases the value of bonds with embedded call options.

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