Market evidence shows that short holding-period returns on short-maturity bonds most often are: A. Less than those

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Market evidence shows that short holding-period returns on short-maturity bonds most often are:

A. Less than those on long-maturity bonds.

B. About equal to those on long-maturity bonds.

C. Greater than those on long-maturity bonds.

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Fixed Income Analysis

ISBN: 9781119850540

5th Edition

Authors: Barbara S. Petitt

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Question Posted: Nov 05, 2023 12:32 AM

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Market evidence shows that short holding-period returns on short-maturity bonds most often are: A. Less than those

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A is correct Although the local expectations theory predicts that the shortrun return for ...View the full answer

Fixed Income Analysis

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