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Your pension plan will pay $10,000 once a year for a 10-year period. The first payment will come in exactly five years. The current interest

Your pension plan will pay $10,000 once a year for a 10-year period. The first payment will come in exactly five years. The current interest rate is 10% per year. The duration of its obligation to you is 8.7255 years

The pension fund wants to immunize its position. If the plan uses 5-year and 20-year zero-coupon bonds to construct the immunized position, how much money ought to be placed in each bond

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