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Which of the following bonds would be the least sensitive to interest rate changes? zero coupon bond, 20 years maturity. 5% annual coupon, 10 years

Which of the following bonds would be the least sensitive to interest rate changes?

  • zero coupon bond, 20 years maturity.
  • 5% annual coupon, 10 years maturity.
  • 5% annual coupon, 7 years maturity.
  • 7% annual coupon, 7 years maturity.

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