Construct a hedge strategy of a bond portfolio for a

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Reference no: EM13395515

Construct a hedge strategy of a bond portfolio for a company of your choice. Select a publically traded company and access the security and exchange commission (SEC) Web site and open the company’s 10-K report. Review the bond portfolio and determine the following:

  • Target rate
  • Value of a put-option hedge
  • Hedge ratio
  • Risk and expected return
  • Holding period

Provide an explanation for each of the above in your answer.

Reference no: EM13395515

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