Bank has $30B in assets and $25B in liabilities, duration gap is .0505 with a...
80.2K
Verified Solution
Link Copied!
Question
Finance
Bank has $30B in assets and $25B in liabilities, duration gap is .0505 with a 4.5% interest rate. How much would the value of the bank change in assets and liabilities if interest rates rise from 4.5% to 5%? New duration gap would be .124062
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
