Dollar duration

Dollar duration

The product of modified duration and the initial price.
References in periodicals archive ?
Are you more concerned about your equity weight and swap proceeds (impact on long-term returns), or your hedge in dollar duration terms, or your hedge as a percent of liability, or some metric like '1 in 20 worst case dollar impact on plan sponsor', or what?
To further demonstrate the validity of the above results, the effective dollar duration (EDD) is calculated.
You learn about Macauley duration, dollar duration, modified duration, convexity and you will get a chance to analyse these risk key figures.