If you are holding two identical bonds, except that one matures in 10 years and...

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Finance

If you are holding two identical bonds, except that one matures in 10 years and the other matures in 5 years, which bond's price will be more sensitive to interest rate risk?
Multiple choice question.
The 10-year bond.
Both bonds are equally sensitive.
The 5-year bond.
Time to maturity does not affect interest rate risk.

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