Adjustable maturity dates is a common characteristic of floating-rate bonds.

Adjustable Maturity Dates

Adjustable maturity dates refer to the flexibility allowed in the due dates of financial instruments, allowing for changes in the repayment schedule.

Floating-Rate Bonds

Bonds with variable interest rates that adjust periodically based on a benchmark interest rate or index.

Familiarize oneself with the factors that influence the risk related to interest rates on bonds, highlighting the coupon rate, time until maturity, and bond specifications.

Verified Answer

yanetsy yglesiasJul 20, 2024

Final Answer :

False

Explanation :

Floating-rate bonds typically have interest rates that reset periodically, not adjustable maturity dates. The maturity date of a bond is usually fixed and not subject to adjustment.

Learning Objectives

Familiarize oneself with the factors that influence the risk related to interest rates on bonds, highlighting the coupon rate, time until maturity, and bond specifications.

Adjustable maturity dates is a common characteristic of floating-rate bonds.

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Learning Objectives

Learning Objectives

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