What is the approximate change in value of the portfolio


Assignment:

Your company owns the following bonds:

Bond

Market Value

Duration

A

$13 million

2

B

$18 million

4

C

$20 million

3

If general interest rates rise from 8% to 8.5%, what is the approximate change in the value of the portfolio?

Solution Preview :

Prepared by a verified Expert
Portfolio Management: What is the approximate change in value of the portfolio
Reference No:- TGS02027297

Now Priced at $20 (50% Discount)

Recommended (95%)

Rated (4.7/5)