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What is a basic assumption of the market segmentation theory? Supply and demand of bonds is primarily influenced by retail investors, especially those in retirement.
What is a basic assumption of the market segmentation theory?
Supply and demand of bonds is primarily influenced by retail investors, especially those in retirement.
The yield curve shape is determined by the outlook for interest rates.
The yield curve shape is primarily determined by institutional bond trading.
Investors prefer shortterm bonds because they are more liquid and less volatile than longer term bonds.
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