l0grisk intelligence · english

// definition

Duration

Sensitivity to interest rates

fraisrevu il y a 0 j
Macro & central banks

Short definition

A measure of how much a bond's price moves when rates change. The higher the duration, the more market value a rise in yields destroys. It turns stress on long rates into balance-sheet risk for holders of long debt.

risk atlas

Knowledge map

Intuition

Duration converts a rate move into a price gain or loss. It says how much rate risk sleeps inside a portfolio.

Formula

approximate price change ≈ -duration × change in yield

Why it matters now

In a high-debt regime, duration concentrates risk: banks, insurers, pension funds and repo strategies can all sell at once if long rates break their scenario.

Related analyses

Related guides

Related datasets

Signals using it

  • MethodologyDebt, interest burden, current stress and structural vulnerability.
  • Risk DiffRecent change in risk and source freshness.
  • Black Box RecorderHashed frames to replay a point-in-time state.

Primary sources