Q28 of sample 2

I don’t remember but is there any time factor involved in the question when we are asked to change from 40% bond to 80% bond for that Georgia? - sticky

I don’t think so.

No but you need to use the 0.25 Duration for the current portfolio…

Can you please explain that although you’ve achieved 40/60, why the market exposure is different? I think they explained that the duration changed. Is that so? I was also thinking that it was because they shorted so leverage magnifies the exposure. On the right track or no?