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What are the key rate durations and total effective duration for a two-year annual-paying bond given the following data? (Assume equal weighting for each year).
What are the key rate durations and total effective duration for a two-year annual-paying bond given the following data? (Assume equal weighting for each year). What does this duration represent relative to a bond with a duration of 5? Year 1 Year 2 High Price 101.63 102.75 Low Price 99.79 101.24 Current Price 100.50 102.00 ACurve 25bps 17bps What are the key rate durations and total effective duration for a two-year annual-paying bond given the following data? (Assume equal weighting for each year). What does this duration represent relative to a bond with a duration of 5? Year 1 Year 2 High Price 101.63 102.75 Low Price 99.79 101.24 Current Price 100.50 102.00 ACurve 25bps 17bps
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