Current yield and yield-to maturity for each bond

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Using the resources available in your domestic investment environment select any 4 bonds issued by Government and corporations relevant to you.

a) Determine the current yield and yield-to maturity for each bond.

b) Assuming that you put an equal amount of money into each of 4 bonds selected, estimate the duration for the 4 bonds portfolio.

c) What would happen to this bond portfolio if (1) market interest rates increase by 1%:(2) market interest rates decrease by 1%.

Reference no: EM131575525

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