Market segmentation of the term structure of interest rates, Financial Management

Assignment Help:

Define the market segmentation of the term structure of interest rates.

Market segmentation:

And also the investors’ expectations regarding future interest rates and their preferences for liquidity, other theory, the market segmentation theory, recommends that the bond market is really made up of a number of divide markets illustrious by time to maturity, each along with their own supply and demand conditions. Several classes of investors and issuers will have a strong preference for exact segments of the yield curve and, thus, the curve will not of necessity move up or down and over its entire range.


Related Discussions:- Market segmentation of the term structure of interest rates

Operating economics, Q Operating economics A number of operating econo...

Q Operating economics A number of operating economies will be available with the merger of two or more companies. Duplicating facilities in accounting purchasing marketing etc

Offshore pension funds, (b) What are the possible advantages of an offshore...

(b) What are the possible advantages of an offshore pension fund?

Perform appropriate ratio analyses on the balance sheet, Perform appropriat...

Perform appropriate ratio analyses on the balance sheet and income statements of your company using techniques discussed in chapter 2 of your textbook. Compare your company to a c

Role of market efficiency, Role of market efficiency: Market efficiency...

Role of market efficiency: Market efficiency signifies how ‘quickly and accurately' does relevant information have its effect on the asset prices. Depending upon the degree of

Describe career opportunities in the field of finance, List and describe th...

List and describe the three career opportunities in the field of finance? Finance has three key career paths: financial markets and institutions, financial management and inves

Hedge funds, Hedge Funds: Hedge Funds are investment partnerships that ...

Hedge Funds: Hedge Funds are investment partnerships that strive for above average returns through active portfolio management and whose primary compensation is a percentage of

Valuation models, V aluation Models A valuation model defines the e...

V aluation Models A valuation model defines the exercise of applying financial and economic principles to estimate the value of an asset. Discounted cash flow valuation mod

Serene Hall ?? Assignment, The purchase price is expected to be in the regi...

The purchase price is expected to be in the region of £30m - £40m now (year 0 ?? 2003) and further cash flow effects might include: ?? Annual cash inflows from New You ?? in a rang

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd