Duration management

03 September 2018

 

By guest contributor Kev Toohey, General Manager, Atchison Consultants With the 35-year secular fall in interest rates seemingly on a plateau and shorter-term cyclical expectations of interest rates being focused upwards, there is a temptation for investors to avoid interest duration in their fixed interest portfolios in the attempt to time the rates cycle. Interest duration is a measure of the sensitivity of the price of a bond to changes...

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