Question
A newspaper provides spot exchange rate of $1 = .7555 and 1-year forward rate of $1=.7755. Youll also need to use the additional information provided
A newspaper provides spot exchange rate of $1 = .7555 and 1-year forward rate of $1=.7755. Youll also need to use the additional information provided in the problems.
John purchases a 10-year zero coupon Bulldog bond with the par of 1 Million using USD. The bond YTM is 4% and he uses the provided spot and forward quotes to transact. Calculate his USD annual return for this investment, in percent round to 2 decimal places.
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The Handbook Of Municipal Bonds
Authors: Frank J. Fabozzi, Sylvan G. Feldstein
1st Edition
0470108754, 9780470108758
