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Question 5: etermine which of the following statements is false with respect to Redington immunization. A) Modified duration may change at different rates for each
Question 5: etermine which of the following statements is false with respect to Redington immunization. A) Modified duration may change at different rates for each of the assets and liabilities as time goes by. B) Redington immunization requires infrequent rebalancing to keep modified duration of assets equal to modified duration of liabilities C) This technique is designed to work only for small changes in the interest rate. D] The yield curve is assumed to be flat. E) The yield curve shifts in parallel when the interest rate changes
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