The duration of a 100 million bond portfolio is 10 years


Question: The duration of a $100 million bond portfolio is 10 years. When S40 million in new bonds are added to the portfolio, the duration of the overall bond portfolio increases to 12.5 years. What is the duration of the $40 million in new bonds?

Request for Solution File

Ask an Expert for Answer!!
Finance Basics: The duration of a 100 million bond portfolio is 10 years
Reference No:- TGS02763446

Expected delivery within 24 Hours