Write an essay on both topics below using 2450 words in total. (The essay topic you will find on instructions)

The Essay topic is:  Discuss why the risk of a portfolio of shares is normally lower than the average risk of the shares in the portfolio. Illustrate your answer with examples.
Discuss why bonds with low coupons and distant maturities are more sensitive to interest rate changes than bonds with high coupons and near maturities. Illustrate your answer with examples.

There are two topics but both are one essay. So, please make sure you put one introduction, 4-5 body paragraphs, and 1 conclusion for both topics. Thank you.

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