Question: Using the Gilead Sciences bond with a 3.65% coupon and a yield 4.78 maturing in 03/2026 and is trading 98 with a face value of

Using the Gilead Sciences bond with a 3.65% coupon and a yield 4.78 maturing in 03/2026 and is trading 98 with a face value of 100. Assume annual coupons for simplicity and calculate the duration and convexity of the bond.

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The duration of the bond is 714 years and the convexity is 1032 To calculate the duration we use the ... View full answer

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