Valid 2016-FRR Dumps shared by ExamDiscuss.com for Helping Passing 2016-FRR Exam! ExamDiscuss.com now offer the newest 2016-FRR exam dumps, the ExamDiscuss.com 2016-FRR exam questions have been updated and answers have been corrected get the newest ExamDiscuss.com 2016-FRR dumps with Test Engine here:
Floating rate bonds typically have ________ duration which means they have ________ sensitivity to interest rate changes.
Correct Answer: D
Floating rate bonds typically have a short duration because their interest payments reset periodically, aligning closely with current interest rates. This frequent resetting makes them less sensitive to changes in interest rates compared to fixed-rate bonds, which have a long duration and are more sensitive to interest rate fluctuations.