Memory usage $261$

$1$

$2$

$3$

$4$

$5$

$6$

$7$

$9$

$10$

$11$

Question $1$

Mark this question

Solect the true statement about interest rate risk.

Interest rate risk is particularly problematic for investors who do not wish to sell their bonds.

Shorter$-$term bonds are more sensitive to interest rate risk than longer$-$term bonds.

It is the risk that a bond's coupon payment will fall if market interest rates fall.

It stems from the fact that bond prices and market interest rates are inversely correlated.

Type here to search

$"-1850$

$4$

ems

$$

$\%$

$F$

:$\text{'}$

$24$

$*)$

$

$\%$

$5$

$7$