Frequently Asked Question
When diversifying a bond portfolio, you should make sure to take into account all of the following EXCEPT:
a. Maturity dates
b. Price
c. Geographic location
d. Credit quality
Answer: B
Credit quality, time to maturity, and location are important factors, while the price of the bond is irrelevant.
c. Geographic location
d. Credit quality
Answer: B
Credit quality, time to maturity, and location are important factors, while the price of the bond is irrelevant.
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