题目
A 5-year corporate bond paying an annual coupon of 8% is sold at a price reflecting a yield-to-maturity of 6% per year. One year passes and the interest rates remain unchanged. Assuming a flat term structure and holding all other factors constant, the bond’s price during this period will have:
选项
A.increased
B.decreased
C.remained constant
D.cannot be determined with the data given
答案
B
解析
Since YTM is lower than coupon rate, the bond is sold at a premium. As time passes the bond price will move towards par hence the price will decrease由于YTM小于息票率，所以该债券是溢价出售。随着时间的推移，债券价格会向面值靠拢，因此价格会下降。