Another "How Many Points Would I Get For This AM ?" Thread

The economy is going up. Which bonds should be bought/sold (2011 am ? #6).


Buy: Cyclical

Sell: Non-cyclical

Buy: Lower Credit

Sell: Higher Credit

Buy: Short Term Bonds

Sell: Long Term Bonds


Buy: Consumer Cyclical

Sell: Consumer Non-cyclical

Buy: Low Rated Bonds: BBB

Sell: High Rated Bonds:AA+

Buy: Short duration

Sell: Long duration

Same answers, but how specific do they want? Does anyone have any insight on the points I would receive? I wonder if this type of Q&A is why some people feel they did okay on the AM, only to see a lower final score.

apart from long term vs long duration i think remaining are fine to me…

use duration instead of term. duration is measure of risk for bond.

Do you buy short duration and sell long duration because the assumption is that rates will rise in a strong economy?