Bonds with a maturity that is longer than the holding period have no interest - rate risk.
举一反三
- Bonds whose term to maturity is shorter than the holding period are also subject to _________
- Investors will be willing to pay more than the par value for bonds when the market rate of interest is higher than the contract rate of interest. ( )
- 8．The risk investors have that a callable bond will be called when interest rates fall is Call risk. ( )
- The spread between the interest rates on bonds with default risk and default-free bonds is called the risk premium.
- When the expected inflation rate decreases, the demand for bonds _________, the supply of bonds _________, and the interest rate _________.