When Other Tactics Will Not Work or Are Too Expensive,the

question 10

Multiple Choice

When other tactics will not work or are too expensive,the best approach to overcoming resistance to change is

• A) facilitation and support.
• B) explicit and implicit coercion.
• C) manipulation and co-optation.
• D) participation and involvement.
• E) education and commitment.

Recognize the concepts of duration and modified duration as measures of interest rate sensitivity.

Identify the factors affecting bond duration and how they influence bond price volatility.

Understand the difference between active and passive bond portfolio management strategies.

Assess the role of interest-rate risk in bond portfolio management for both active and passive managers.