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Suppose that you are a bond mutual fund manager. The benchmark of the fund is a bond index with a 5-year duration. Suppose that the
Suppose that you are a bond mutual fund manager. The benchmark of the fund is a bond index with a 5-year duration. Suppose that the average duration of your portfolio is 6 years. If the market interest rate in the coming year becomes much higher, what would happen to the return of your portfolio relative to that of the benchmark
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