“Bond Risk Management” Please respond to the following:
- Given the Federal Reserve Board’s current and forward-looking position on interest rates, predict the level of risk associated with investing in bonds and recommend a portfolio percentage for investment in bonds for a financial institution. Provide support for your recommendation.
- Assess how an increase in the interest rate would change your recommendation provided above. Indicate the basis for your rationale.
- Please provide one citation/reference for your initial posting that is not your textbook. Please do not use Investopedia or Wikipedia.