Fixed Income, Duration

CFA Level I
#1

Could someone please kindly explain the following statement as clearly as possible?

If the investment horizon is shorter than the Macaulay duration, the price impact of a decrease in YTM dominates the loss of reinvestment income and the realized yield will be higher than the YTM at purchase.

Cheers!

#2

If investment horizon is shorter than MD you will gain more on price of the bond (price rises when YTM drops) then you will lose on reinvestment of coupons (higher the YTM higher the income from reinvesting coupons).

And vice versa.