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The components of a bond portfolio are listed below: Bond Market value ( 0 0 0 s ) Duration 1 6 4 3 4 .
The components of a bond portfolio are listed below:
Bond Market value s Duration
The target portfolio dollar duration is $K If you want to maintain the same proportions of the assets in the portfolio while rebalancing it to target duration, what will be dollar change in the size of the resulting portfolio?
Note that it can be negative or positive, depending on whether you need dollar duration to increase or decrease to reach the target.
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margin of error
You need to scale the portfolio up or down until its dollar duration is equal to kNeed the correct Excel Forumula that gets the ANSWER
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