CFA Practice Question

There are 147 practice questions for this study session.

CFA Practice Question

Which factor is most likely the change in the yield curve curvature?
A. Factor 1
B. Factor 2
C. Factor 3
Explanation: A unitary positive standard deviation change in this factor leads to positive yield changes at both short and long maturities but produces declines at intermediate maturities. It seems to be changes in the curvature or twist in the yield curve.

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