Because There Are Many Meanings for Most Words and Phrases,questionnaire

question 74

True/False

Because there are many meanings for most words and phrases,questionnaire questions should be very long to properly define the words contained in the question.

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Definitions:

Bond Portfolio Manager

An individual or team responsible for making investment decisions about a portfolio of bonds in order to achieve specified investment objectives.

Surrounding Maturity

This term appears to be less commonly used or specific; however, in context, it could refer to factors or conditions existing or occurring around the time a financial instrument reaches its maturity.

Convexity

An indicator of how the bond price's sensitivity to interest rate changes varies with the bond's yield, reflecting adjustments in the bond's duration.

Basis Points

A unit of measure used in finance to describe the percentage change in the value or rate of a financial instrument.