Why a bonds interest rate risk is related to its maturity

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Reference no: EM131329291

1. Describe how and why a bond's interest rate risk is related to its maturity.

2. Explain why municipal bonds can offer lower interest rates than equally risky corporate bonds.

3. Explain why the yield to maturity on a junk bond is not a particularly good measure of the return you can expect if you buy it and hold it until maturity.

Reference no: EM131329291

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