A 5-year treasury bond is issued at par value 1,000 with a fixed coupon of 10% in 2015

Today is 1/1/2018, the bond has 2 years left to maturity.

Current 2-year CD interest rate is 5% and 2-year SP500 return is expected to be 3%.

What is your strategy if you have $5,000 to invest and wish to maximize return with the lowest chance for loss?

a. Invest your allocation into a 2 year CD rate of 5%

b. Invest your allocation into the SP500 with expected return 3%

c. Buy 4 or 5 T bonds with coupon 10% and hold to maturity

Please show all the works