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In theory, YTM that is pears to pears should return equally tasty pear sauce with the only outlier being a higher coupon has a different reinvestment profile. If YTM is actually a wash and someone believes that they are a superior picker than average, the higher coupon provides more reinvestment capital, thus premiums can and maybe ought to be taken on.


Your comment adds another dimension to the argument, which isn't insignificant. The faster capital is recovered, the faster risk is reduced (all other things being equal) regardless of whether the capital is put back to work.

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