A Relatively High Numerical Value of the Duration of an Asset

Multiple Choice

A relatively high numerical value of the duration of an asset means which of the following t?

A) Low sensitivity of an asset price to interest rate shocks.
B) High interest inelasticity of a bond.
C) High sensitivity of an asset price to interest rate shocks.
D) Lack of sensitivity of an asset price to interest rate shocks.
E) Smaller capital loss for a given change in interest rates.