n NISM Certifications
XXI NISM Series XXI-A
Medium

What is the response of a bond fund manager expecting a rise in interest rates?

Practice question from NISM XXI A for PMS - Mock Test 3 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A) Reducing portfolio duration to less than 10 years

    Correct answer

  2. B

    B) Reducing portfolio duration to less than 12 years

  3. C

    C) Increasing portfolio duration to more than 10 years

  4. D

    D) Increasing portfolio duration to more than 12 years

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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