Consider the statement, The conclusion is that the more convex bond outperforms the less convex bond [Reading
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Consider the statement, ‘The conclusion is that the more convex bond outperforms the less convex bond…’ [Reading 55 ‘Understanding Fixed Income risks and Returns’, CFA Institute, 2014]. Explain this statement with the help of a diagram. Your answer should include a brief definition of ‘convex’ in this context.
Related Book For
Essentials of Investments
ISBN: 978-0078034695
9th edition
Authors: Zvi Bodie, Alex Kane, Alan Marcus
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