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The yield curve is currently flat at 6% and a bond investor is concerned about the possibility of rising interest rates. Which bond is most
The yield curve is currently flat at 6% and a bond investor is concerned about the possibility of rising interest rates. Which bond is most likely to be considered a hedge against rising interest rates?
A)A 5-year, 6% coupon straight bond
B) A 5-year, 6% coupon bond putable at 100% of par
C) A 5-year, 6% coupon bond callable at 102% of par
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