Question: Using this example a. Find a combination of bonds 1 and 3 with a duration of 8. b. Find a combination of bonds 1 and
Using this example
a. Find a combination of bonds 1 and 3 with a duration of 8.
b. Find a combination of bonds 1 and 2 with a duration of 8.
c. Which portfolio (a or b) would you prefer to immunize an obligation with a duration of 8?
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