The reinvestment risk of bonds is higher on – McqOptions

MCQOPTIONS

1.	The reinvestment risk of bonds is higher on
A.	short maturity bonds
B.	high maturity bonds
C.	high premium bonds
D.	high inflated bonds
Answer» B. high maturity bonds

Discussion

No Comment Found

Related MCQs

The default risk is measured by large traders, managers and investors with the help of
The rate of return (in percentages) consists of
A financial guarantee ensure that the lander will be paid
As compared to public issues, the interest premiums on privately placed issues overtime have
The principal value of TIPS is increased or decreased and is based on the measure of
The treasury bonds and notes pay the interest rate is classified as
The value of option issued to call debt is $780 and return rate on callable bond is $370 then return rate on non-callable bond is
If the maturity date of the bond is closer than the premium of bond will be
An usage of proceeds of new issue to retire issue with high-rate is classified as
The value of option issued to call debt is $670 and return rate on callable bond is $540 then return rate on non-callable bond is