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Effective Duration

fixed income
Definition
A duration measure that accounts for changes in cash flows due to embedded options, more accurate than modified duration for callable bonds.

Explanation

A duration measure that accounts for changes in cash flows due to embedded options, more accurate than modified duration for callable bonds.

How Stoquity Uses This

Stoquity incorporates effective duration analysis across its portfolio management platform, providing real-time monitoring and AI-powered insights.

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