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You Are About to Make a Speech, and You Are

question 268

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You are about to make a speech, and you are quite nervous.Which of the following would most likely reduce your tension and anxiety the most?


Definitions:

Yield To Maturity

The total return anticipated on a bond if the bond is held until it matures, including all interest payments and the repayment of principal.

Modified Duration

Macaulay’s duration divided by 1 + yield to maturity. Measures interest rate sensitivity of bonds.

Macaulay Duration

A measure of the weighted average time until all cash flows from a bond are received, used to gauge a bond's interest rate sensitivity.

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