In the Nelson-Siegel Framework, Which of the Following Statements Is $A ( t ) = a + b e ^ { - t / d } + c ( t / d ) e ^ { - t / d }$

question 11

Multiple Choice

In the Nelson-Siegel framework, which of the following statements is valid? Let the notation used to describe the fitting function be the following: $A ( t ) = a + b e ^ { - t / d } + c ( t / d ) e ^ { - t / d }$

• A) \(\alpha\) determines the slope.
• B) \(b\) determines the location of the hump.
• C) \(C\) determines the hump shape.
• D) \(d\) determines the long-term rate.

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