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13. Using duration, estimate the change (in %) in the market value of a bond that has a duration of 6.5 years and a current

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13. Using duration, estimate the change (in \%) in the market value of a bond that has a duration of 6.5 years and a current YTM of 4.40%; a. If the YTM rises to 4.60% b. If the YTM declines to 4.20%. 4. You manage a bond portfolio with allocations as below; You investment guidelines require you to be 100% invested in USTs at all times. a. What should you do if you believe that interest rates will rise in the future

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