Question
An investor with an investment horizon of 2.2 year purchases a 8% coupon bond with 2 years to maturity and a face value of $100?
An investor with an investment horizon of 2.2 year purchases a 8% coupon bond with 2 years to maturity and a face value of $100? The bond is trading at a yield of 8%. Coupons are paid semi-annually. What is this investor's duration gap?
Assume semi-annual compounding. Round your answer to 4 decimal places.
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Production And Operations Analysis
Authors: Steven Nahmias, Tava Lennon Olsen
7th Edition
1478623063, 9781478623069
