An investor buys a $10,000 par, 4.3 percent annual coupon TIPS security with two years to maturity.

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An investor buys a $10,000 par, 4.3 percent annual coupon TIPS security with two years to maturity. If inflation every six months over the investor's holding period is 2.50 percent, what is the final payment the TIPS investor will receive?

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Bond Markets Analysis and Strategies

ISBN: 978-0133796773

9th edition

Authors: Frank J.Fabozzi

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Posted Date: Mar 26, 2024 02:56 AM

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An investor buys a $10,000 par, 4.3 percent annual coupon TIPS security with two years to maturity.

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To calculate the final payment the TIPS Treasury InflationProtected Securities investor will receive ... View the full answer

Bond Markets Analysis and Strategies

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