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Title: You wish to create a synthetic forward rate agreement in which you would lock in a return between ... Post by: elf_fu on Jul 6, 2017 You wish to create a synthetic forward rate agreement in which you would lock in a return between 150 and 310 days. The price of a 150-day zero coupon bond is 0.9823 and the price of 310-day zero coupon bond is 0.9634. What are the transactions used to create this instrument?
A) Borrow one 150-day bond and invest in 1.02 of the 310-day bonds B) Borrow two 150-day bonds and invest in 0.98 of the 310-day bonds C) Lend one of the 150-day bonds and borrow 1.02 of the 310-day bonds D) Lend two of the 150-day bonds and borrow 0.98 of the 310-day bonds Title: Re: You wish to create a synthetic forward rate agreement in which you would lock in a return ... Post by: phuongha2892 on Jul 6, 2017 Content hidden
Title: Re: You wish to create a synthetic forward rate agreement in which you would lock in a return ... Post by: khmai4 on Feb 14, 2020 Thank you
Title: Re: You wish to create a synthetic forward rate agreement in which you would lock in a return ... Post by: Shanmukha Rao Kosuri on Feb 18, 2020 Thank you
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