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What is Modified duration for the portfolio using the shares of market value as the weights? 09.03 8.07 10.1 0.09 An investment fund owns the
What is Modified duration for the portfolio using the shares of market value as the weights? 09.03 8.07 10.1 0.09 An investment fund owns the following portfolio of 3 different types of bonds: Amount Invested Bond Bond Type Par value of Coupon each bond Rate Time-to- Yield-to- Maturity Maturity Annual $2 million A $100 8% Exactly 3 years coupon bond 7% $3 million B. Zero-coupon $100 bond none Exactly 5 years 10% $5 million Perpetuity $100 4% Infinite 7%
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