An analyst predicts that the yield curve will twist at the 10 year maturity, The 1-year zero-coupon government bond yield to maturity will increase by 1% while the 21-year zero-coupon government bond yield to maturity will decrease by 1%.

Fixed Income securities available in the market have a maximum maturity of 21 years and a minimum maturity of 1 year.

If the analyst's prediction does come true, which of the following investment strategies will result in the highest returns?

Group of answer choices

A barbell strategy which allocates 40% to 1-year zero-coupon government bonds and 60% to 21-year zero-coupon government bonds.

A barbell strategy which allocates 10% to 1-year zero-coupon government bonds and 90% to 21-year zero-coupon government bonds.

A bullet strategy which allocates 100% to 1-year zero-coupon government bonds.

A bullet strategy which allocates 100% to 21-year zero-coupon government bonds.

A ladder which is an equally weighted allocation across all maturities of zero-coupon government bonds.