If a Bond's Volatility Is 5% and Its Yield to Maturity

question 25

Multiple Choice

If a bond's volatility is 5% and its yield to maturity changes by 0.5% (points) then the price of the bond:

• A)changes by 5%
• B)changes by 2.5%
• C)changes by 7.5%
• D)will not change

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Definitions:

Antiessentialism

A philosophical standpoint arguing against the idea that entities have a set of attributes essential to their identity and function.

Broader Politics of Inclusion

Policies and practices aimed at ensuring equal participation and rights for all members of society, often emphasizing diversity and equity.

Material Experiences

The physical and tangible interactions and experiences individuals have with objects and environments in their daily lives.

Revolutionary Potential

The capacity or possibility for radical societal or structural change, often associated with social movements or ideologies.