Which of the following is true concerning the interest rate risk of bonds? ...
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Finance
Which of the following is true concerning the interest rate risk of bonds?
The longer the maturity of a bond, the higher the interest rate risk of that bond
1) The higher the coupon of a bond, the higher the interest rate risk of that bond
2) The shorter the maturity of a bond, the higher the interest rate risk of that bond
3) The length of maturity of a bond does not affect interest rate risk
4) The coupon of a bond has no effect on the interest rate risk of a bond
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