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Unformatted text preview: -5.087826-2.361165-11.26132 1. The percentage price change for a given yield change is not the same for all bonds (close if the yield change is very small) 2. For a given basis point change, the percentage price increase is greater than the percentage price decrease. 3. For a given maturity and yield, the lower the coupon, the greater the price volatility. 4. For a given coupon and yield, the longer the term to maturity, the greater the price volatility....
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This note was uploaded on 04/18/2008 for the course BUSI 2008 taught by Professor Dob during the Spring '08 term at Carleton CA.
- Spring '08