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Interest Rate Sensitivity An increase in a bond's yield to maturity results in a smaller price decline than the gain associated with a decrease in
Interest Rate Sensitivity An increase in a bond's yield to maturity results in a smaller price decline than the gain associated with a decrease in yield. This result is due to
a. the nonlinear relationship between bond prices and interest rates b. the inverse relationship between bond prices and interest rates c. the relationship between bond maturity and price sensitivity d. the relationship between the size of the coupon and price sensitivity
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