Reasons for Using a Bond Ladder Strategy Include

question 109

Multiple Choice

Reasons for using a bond ladder strategy include
I. typically higher rates on long-term bonds.
II. uncertainty concerning future interest rates.
III. lower tax rates on bonds held to maturity.
IV. reducing the amount of time spent managing the bond portfolio.

• A) I and III
• B) II and IV
• C) I, II and III
• D) I, II and IV

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Definitions:

Null Hypotheses

A statement or hypothesis set up to be nullified or refuted in order to support an alternative hypothesis , typically suggesting no effect or no difference.

Alternative Hypotheses

In hypothesis testing, the proposition that there exists an effect or difference when contrasted with the null hypothesis.

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A change in the DNA sequence that makes up a gene, which can lead to differences in protein production and can affect health and development.

Entomologist

A scientist who studies insects, including their biology, behavior, and impact on the environment.