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You expect that interest rates will decline in the near future (contrary to the market consensus that rates will rise). Which bond would be your
You expect that interest rates will decline in the near future (contrary to the market consensus that rates will rise). Which bond would be your best investment if you are right?:
A) 9% coupon, 25 year maturity.
B) 9% coupon, 5 year maturity.
C) 2% coupon, 25 year maturity
D) Zero coupon, 25 year maturity
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