Answered

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Which protection is most valuable to a bond owner when bond prices are generally:

A) rising.
B) falling.
C) stable.

Sagot :

GinnyAnswer

Final answer:

Interest rate risk is a vital consideration for bond owners, with stable interest rates being the most favorable scenario.


Explanation:

Interest rate risk is a crucial factor for bond owners, as rising interest rates can lead to a decrease in the market value of their bonds. Thus, stable interest rates are most favorable for bond owners as they ensure the value of the bond remains relatively consistent.


Learn more about Interest rate risk here:

https://brainly.com/question/31818669


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