The duration of a 10-year bond is 875 and the duration of a


The duration of a 10-year bond is 8.75 and the duration of a 2-year bond is 1.25. Both bonds are priced at par. How many of the 2-year bonds would you need to own to have the same interest rate sensitivity as one 10-year bond?

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Finance Basics: The duration of a 10-year bond is 875 and the duration of a
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