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A long-term bond has a duration of 8 years and convexity of 105. How much does the bond price approximately change when its yield increases
A long-term bond has a duration of 8 years and convexity of 105. How much does the bond price approximately change when its yield increases from 2% to 8%? (Use the info about both duration and convexity to answer)
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65.2%
-28.9%
-47.1%
-28.2%
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