NO.PZ201812020100000202
问题如下:
Strategy 2 is most likely preferred to Strategy 1 for meeting the objective of:
选项:
A.protecting inflation.
B.funding future liabilities.
C.minimizing the correlation of the fund’s domestic bond portfolio and equity portfolio.
解释:
A is correct.
Floating-coupon bonds provide inflation protection for the interest income because the reference rate should adjust for inflation. The purchase of fixed-coupon bonds as outlined in Strategy 1 provides no protection against inflation for either interest or principal. Strategy 1 would instead be superior to Strategy 2 in funding future liabilities (better predictability as to the amount of cash flows) and reducing the correlation between the fund’s domestic bond portfolio and equity portfolio (better diversification).
为什么Strategy 1能够更好满足目标1:未来的负债