单选题

Consider two bonds that are identical except for their coupon rates. The bond that will have the highest interest rate risk most likely has the:

A、 lowest coupon rate.
B、 highest coupon rate.
C、 coupon rate closest to its market yield.

【正确答案】 A

【答案解析】

A is correct because a lower coupon rate means that more of the bond's value comes from repayment of face value, which occurs at the end of the bond's life.