Q2. What is interest rate risk? Assume that you were just awarded your lifetime dream job as a corporate bond fund manager...ever since you were four years old, you dreamed of one day managing a bond fund. Your first day on the job, an analyst sent you an email indicating that interest rates are very likely to drop within the short term. You currently manage bonds worth a total of $128 million. Based on this forecast, what should you change within the portfolio?