What is the relationship between a bondholder's rate of return and the bond's yield to maturity if they do not hold the bond until it matures?

Question

Answer

The rate of return will equal the yield to maturity.

Answer

The rate of return will be higher than the yield to maturity.

Answer

The rate of return will be lower than the yield to maturity.

Answer

There is no predetermined relationship between the rate of return and the yield to maturity.

Crowdly