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Assume you are the head portfolio manager in a hedge fund based in hongkong. The ;arge - scale composition of your book is as follows

Assume you are the head portfolio manager in a hedge fund based in hongkong. The ;arge-scale composition of your book is as follows : Japanese Small-cap stocks :228million usd, Japanese medium-cap stocks :173million usd, US large-cap stocks :341million usd,TLT 258million usd. There is a rumor in the market that japan is about to increase the interest rate while the FEds in america is about to decrease interest rate in us. Investor are afraid of this and discuss about : Is your fund exposed to any risk given the possible and certain interest rate changes in the us and japan? Name 3possible risks and explain hoe they affect your holdings

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