Valid CFA-Level-I Dumps shared by ExamDiscuss.com for Helping Passing CFA-Level-I Exam! ExamDiscuss.com now offer the newest CFA-Level-I exam dumps, the ExamDiscuss.com CFA-Level-I exam questions have been updated and answers have been corrected get the newest ExamDiscuss.com CFA-Level-I dumps with Test Engine here:
Which of the following bonds is likely to command the HIGHEST yield, assuming they are all issued by the same entity and have the same maturity?
Correct Answer: C
All bonds have reinvestment risk to different degrees. Callable bonds will have the highest yield because of the call option written by the investors so that the issuer can call the bond before its maturity at a price less than the intrinsic value of bond if interest rates fall.