Question: Question 4 (5 marks): Using the information in the table below, derive the required metrics for the portfolio. Assume that the face value for

Question 4 (5 marks): Using the information in the table below, derive

Question 4 (5 marks): Using the information in the table below, derive the required metrics for the portfolio. Assume that the face value for all bonds is $100 and each pays coupons semi-annually: Portfolio Coupon Portfolio YTM Portfolio Duration Portfolio DV01 Portfolio Modified Duration Holdings Weights Coupon YTM Duration Bond 1 $200,000,000 ? 2.35% 1.19% 7.5 Years Bond 2 $140,000,000 ? 6.39% 3.76% 6.8 Years Bond 3 $117,000,000 ? 8.15% 4.42% 4.9 Years Bond 4 $296,000,000 ? 1.17% 2.28% 5.1 Years Bond 5 $50,500,000 ? 4.56% 5.75% 2.3 Years Bond 6 $99,014,000 ? 3.27% 3.11% 5.3 Years Total

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