5 ms·

Yes. It is time dependent, of course - you could get 11% on German Bundesanleihen in the early 80s. Having said that, Levine’s rule is sound.

• shuckles 6y ago
  Works if you replace yield with spread, which is the standard convention in finance anyways.
• nradov 6y ago
  At the time there was a very real risk that a Soviet invasion could wipe out your investment.