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i dont recall seeing using std deviation as measure of risk for bonds due to fact that:

1) calculation of std dev becomes too complex (requires many asumptions of variances and covariance) as number of bonds in the portfolio increases

2) bond characterstics change as time to maturity lessens. so if i calculate std dev based on charactersitcs at t=0 for a 5 yr duration bond, its std dev will be a lot different than what i calculate at time t = 1 or any other time. the two wont be comparable.

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