I am sort of struggling with understanding the difference between the two...
Both are measures of percentage change in the the bond price for a given change in the yield.
What exactly is the difference -- I am sort of tiptoeing on something related to the fact that in one case we are talking about a non-parallel yield shift and the second case a parallel shift in the yield curve.
Not really sure I grasp the difference between the two measures.
--sridhar
Both are measures of percentage change in the the bond price for a given change in the yield.
What exactly is the difference -- I am sort of tiptoeing on something related to the fact that in one case we are talking about a non-parallel yield shift and the second case a parallel shift in the yield curve.
Not really sure I grasp the difference between the two measures.
--sridhar