1. If a bond has high positive convexity:
   1. It must be callable.
   2. It can be callable but must be trading above its call price.
   3. The investor benefits from large changes in interest rates, compared to how an otherwise similar low convexity bond would have performed.
   4. The investor is hurt by large changes in interest rates, compared to how an otherwise low convexity bond would have performed.
   5. Duration provides a precise estimate of the bonds interest rate risk