What is the convexity of a porolio of mortgages that results in a annual stream of payments of €1,000 for the next five years. The relevant yield for this porolio is 2% for all maturies.
2. What is the duration of a portfolio of mortgages that results in an annual cashflow of €1,000 for the next 6 years. The relevant yield for this portfolio is 2% for all maturities based on continous compounding.