One of the benefits of the laddered approach to managing


One of the benefits of the laddered approach to managing interest rate risk in a bond portfolio is that

a. reinvestment risk is eliminated because you standardize the timing of bond maturities.

b. the portfolio includes bonds issued by different organizations, thereby reducing default risk

c. all bonds are liquidated if the investor elects to capitalize on an opportunity

d. when bonds mature at different intervals, you diversify the timing of reinvestment

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Financial Management: One of the benefits of the laddered approach to managing
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