Question
An investor who expects declining interest rates would be likely to purchase a bond that has a ___ coupon rate and a ___ term to
An investor who expects declining interest rates would be likely to purchase a bond that has a ___ coupon rate and a ___ term to maturity.
A) low; long
B) high; short
C) high; long
D) zero; long
I don't understand the difference between answer C and D.
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The Handbook Of Mortgage Backed Securities
Authors: Frank Fabozzi
6th Edition
0071460748, 978-0071460743
