- CFA Exams
- CFA Level I Exam
- Topic 6. Fixed Income
- Learning Module 12. Yield-Based Bond Convexity and Portfolio Properties
- Subject 1. Bond Convexity and Convexity Adjustment
CFA Practice Question
The convexity adjustment is ______ on a traditional (option-free) fixed-rate bond for either an increase or decrease in the yield.
B. always a negative amount
C. either a positive or a negative amount
A. always a positive amount
B. always a negative amount
C. either a positive or a negative amount
Correct Answer: A
User Contributed Comments 0
You need to log in first to add your comment.