For a Zero-Coupon Bond, Duration Is the Same as Time

question 13

True/False

For a zero-coupon bond, duration is the same as time to maturity.

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Definitions:

Past Price Movements

Historical changes in the price levels of assets, often analyzed in financial markets to identify trends or patterns.

Abnormal Return

The difference between an investment's actual return and its expected return based on the market or a benchmark's performance.

Economic Return

The total financial gain or loss on an investment or business venture, considering both cash flows and changes in market value.

Market Movements

Fluctuations in the prices of securities within financial markets, influenced by various factors including economic indicators, market sentiment, and political events.