BOND PORTFOLIO MANAGEMENT – THE ACTIVE & PASSIVE STRATEGY INTEREST RATE RISK Bond price & yields are inter related. As interest rate fluctuate bondholders experience…

Slide 11 CHAPTER 8 Bond Valuation and Risk Slide 2 2 CHAPTER 8 OVERVIEW This chapter will: A. Explain how debt securities are priced B. Identify the factors that affect bond…

Slide 1 Copyright 2015 by Diane S. Docking 1 Bond Valuation Slide 2 Copyright 2015 by Diane S. Docking Learning Objectives To understand the cash flow characteristics of…

Slide 1 Chapter 19: Commercial Mortgage Economics & Investment Slide 2 Chapter Outline 19.1 Basic Characteristics of Bonds 19.1.1 Duration & Maturity 19.1.2 Interest-rate…

Dr. Himanshu Joshi Change in interest rates results in change in prices of bonds in reverse direction. Interest rate increase = Price will fall to offer in-built capital…

Slide 1 Managing Bond Portfolios 11 Bodie, Kane, and Marcus Essentials of Investments, 9th Edition McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc.…

Dr. Himanshu Joshi Change in interest rates results in change in prices of bonds in reverse direction. Interest rate increase = Price will fall to offer in-built capital…

Slide 1 Chapter 11 Managing Bond Portfolios Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin Slide 2 11.1 Interest Rate Risk 11-2…