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b) Admiral Funds are managing a portfolio of $17 million. The portfolio's target duration is...

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b) Admiral Funds are managing a portfolio of $17 million. The portfolio's target duration is 13 years, and you can choose from two bonds: a zero-coupon bond with maturity of 3 years, and a perpetuity, each currently yielding 6%. 4 Required: 4 i. How much of each bond will you hold in your portfolio? ii. How will these weights change next year if target duration is now 10 years? I

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