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Assume that six months have passed after initiation of an equity swap. Recall your initial swap - fixed - rate was 1 . 7 3
Assume that six months have passed after initiation of an equity swap. Recall your initial swapfixedrate was In the beginning of the period, the value of equity stocks was $ whereas the value of equity today is $ Finally, assume that the notional amount is $ million. The new discount factors are the following:
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Can you calculate the value of your equity swap today?
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